The State, the Market and Competition

This session provides a selective discussion of issues related to the economics of competition for imperfect consumers. Limited consumer awareness – about what deals are on offer, or about the consequences of purchasing decisions – is a central feature of many markets. Consumer imperfection can give rise to market power, but can also co-exist with strong rivalry between firms.

The topic holds great significance in the ongoing competition policy debate across various markets, including the digital realm. The discussion primarily centers around determining the most suitable policy instruments – and the role of competition policy – to address market imperfections resulting from consumer imperfections.