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Should Developing Countries Worry About Abuse of Dominant Power? Co-authored with Philippe Brusick. Published in the Wisconsin Law Review. 2008. Number 2.

Abstract

This Paper suggests that in developing countries, especially where small and poor markets prevail, abuse of dominant power — or monopolization, as it is known in the United States—can be much more
damaging to the economy than in developed countries. It pays special attention to the abuses that state-owned firms and recently privatized monopolies can inflict on developing economies and suggests that collusion between the state and dominant enterprises can seriously hamper the economy and stifle development. This Paper analyzes the main concerns of developing countries in this respect and provides a list of examples of concrete cases of abuse of dominance affecting developing-country economies. This Paper recommends that far from challenging only pricefixing cartels, as is sometimes advocated by representatives from developed countries, competition authorities in developing countries should devote increased attention to abuse of dominance, and their powers in this respect should be strengthened when they must challenge abuses by dominant firms, which are sometimes protected by their own government.