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OECD Competition Assessment Reviews: Brazil

image of OECD Competition Assessment Reviews: Brazil

This review provides an analysis of regulatory barriers to competition in Brazil, specifically in the ports and civil aviation sectors, and makes recommendations for Brazilian authorities to mitigate harm to competition and foster long-lasting growth. It is based on a competition assessment conducted by the OECD in co-operation with the Brazilian Competition Authority (CADE) identifying rules and regulations that may hinder the competitive and efficient functioning of markets in the two sectors under review. The review also includes estimates of the impact that the implementation of certain specific recommendations could have on the economy.

English Also available in: Portuguese

Overview

While regulations pursue legitimate policy objectives, when they are overly restrictive or onerous, however, a comprehensive review can help identify problematic areas and develop alternative policies that achieve government objectives without harming competition.Competition Assessment Projects evaluate market regulations to identify regulatory barriers to competition. These include regulations that restrict entry into a market; constrain firms’ ability to compete (for example, by regulating prices); treat competitors differently (for instance, by favouring incumbents); facilitate co‑ordination among competitors; or restrict consumers’ ability to change suppliers. The methodology followed in this systematic exercise is summarised in Annex A., which also describes the stages of the project and provides full references to the OECD Competition Assessment methodology.This chapter provides some background information on the Brazil Competition Assessment Project, before summarising the main findings of the literature on the benefits of competition and the estimated economic benefits of implementing the recommendations.

English Also available in: Portuguese

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