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Working Paper

Breaking Down Barriers : Unlocking Africa's Potential through Vigorous Competition Policy

AUCTION PRODUCER PRICE INDEX RETAIL PRICE RETAIL LEASES EXPORT MARKETS MARKET STRUCTURE PRICE LEVELS PRODUCT MARKET MARKET DISTORTIONS STOCK MARKET DEVELOPMENTS SALES AVERAGE PRICES SUPPLIER PRICE MAINTENANCE SERVICES MARKETS DOMESTIC MARKET PRICING STRATEGIES CONTESTABLE MARKETS TYING SERVICE MARKET PRODUCER PRICES FAIR DISTRIBUTION PRICING PRICE WARS MARKET FAILURE PRICE EXCLUSIONARY PRACTICES INTERMEDIATE PRODUCTS PRICE COMPETITION RETAIL MARKET BEHAVIOR MARKET STUDIES PRICE FIXING WHOLESALER COMPETITIVE PRICE ADVERTISING MARKET ENTRY EXPORT MARKETING INTERNATIONAL COMPETITIVENESS MARKET PENETRATION MARKET CONCENTRATION COMMERCE MARKET REFORMS MARKET DEVELOPMENT BRANDS DIRECT MARKET PRICE VOLATILITY SURPLUS PRODUCTS SERVICES MARKET RELEVANT MARKET MONOPOLY BARRIERS TO ENTRY MARKETING MARKETS PRODUCT PRICE SUBSIDIES GROSS DOMESTIC PRODUCT SUBSTITUTES RELEVANT MARKETS BRAND COMMODITY PRICE CONTESTABILITY MARKET PRICE EXPENDITURE COMMON MARKET RETAIL INDUSTRY EMERGING MARKETS AUCTIONS SUBSTITUTE DOMESTIC MARKETS VOLATILITY MARKET CONDITIONS MARKET FAILURES TURNOVER AGRICULTURAL PRICE MARKET PRICES VALUE COMPETITIVENESS RETAIL STORES PRODUCER PRICE DEMAND MARKET POSITION PREDATORY PRICING PRICE REGULATION PRICE LEVEL EXPENDITURES SALE AVERAGE PRICE MARKET ACCESS TO MARKETS RETAIL PRICES PRICE INCREASE SUPPLY CHAIN PRICE DISCRIMINATION MARKET COMPETITION BIDDING SUPPLY CHAINS MARKET SHARE STOCKS CONTESTABLE MARKET COMMERCIAL MARKETS MONOPOLIES SUPPLY COMPETITIVE PRICES MARKET DEMAND MARKET POWER MARKETPLACE PRODUCT MARKETS MARKET STUDY INVESTMENTS CONSUMER PRICES MARKET STABILIZATION WHOLESALERS PRICE CONTROL PRICE CEILING SUPPLIERS PRICE CONTROLS LABOR MARKETS PRICE INDEX INTERNATIONAL MARKETS PRICES ENERGY PRICE SPREAD STORAGE COMPETITION
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World Bank, Nairobi, Kenya
Africa | Africa | Sub-Saharan Africa
2016-07-13T22:52:07Z | 2016-07-13T22:52:07Z | 2016-06

This report shows how competition policy can help African countries boost inclusive and sustainable development. Prepared by the World Bank Group (WBG) in partnership with the African Competition Forum, the study reviews the implementation of competition frameworks in Africa and examines competition issues that affect market performance in three important sectors for Africa's competitiveness: cement, fertilizers, and telecoms. It uses the WBG's Markets and Competition Policy Assessment Tool to identify how competition rule and their enforcement could be made more effective, and to highlight economic and regulatory characteristics of cement, fertilizers and telecoms markets that dampen competition and increase the risk of anticompetitive business practices. Conservative estimates put forward by this report suggest that addressing weak competition in principle staple foods across three countries would have the effect of lifting around 500,000 people above the poverty line by lowering consumer prices. Fundamental market reforms to increase competition in key input services would also boost economic growth. For example, professional services reforms would deliver an additional 0.16–0.43 percent of additional annual gross domestic product growth. While the benefits of competition are clearly observable in Africa, considerable effort is still required to ensure effective implementation of competition laws and incorporation of competition principles in government policies.

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