Current Competitive Economic Challenges in Europe. Expert conference by WIFO, BWB and OeNB

Verena Kraushofer

Natalie Harsdorf-Borsch (BWB), Gabriel Felbermayr (WIFO), Tomaso Duso (DIW), Robert Holzmann (OeNB), Fiona M. Scott Morton (Yale School of Management), Philipp Schmidt-Dengler (Uni Wien) © Katharina Schiffl

06.12.2023

Current Competitive Economic Challenges in Europe

Expert conference by WIFO, BWB and OeNB

On 4 December 2023, WIFO organised an expert conference together with the Federal Competition Authority (BWB) and the Austrian National Bank (OeNB). The event was about the macroeconomic challenges in Europe. One key topic were the challenges which competition in Austria is facing.

Numerous high-profile experts from the fields of science and competition enforcement took part in the event. WIFO Director Gabriel Felbermayr as well as the General Director of BWB, Natalie Harsdorf-Borsch, discussed the topic of "Strengthening competition in face of current challenges". The main focus was on the comparison of theory and practice.

On the subsequent expert panel, Justus Haucap (Dice, University of Düsseldorf), Viktoria Robertson (Vienna University of Economics and Business), KOG Senate President Georg Kodek (Vienna University of Economics and Business), Tomaso Duso (DIW, Monopolies Commission) and Philipp Schmidt-Dengler (University of Vienna) participated.

Fiona Scott Morton from Yale University, Tomaso Duso and Philipp Schmidt-Dengler gave inspiring presentations on the topic of competition and market concentration. The scientific perspective and empirical aspects played a particularly important role.

"The exchange between the experts provided an excellent overview of where we stand in terms of competition in Austria and the EU. As a competition authority, we must focus in particularly on the new challenges of digitalisation, open market access and strong merger control. The focus is therefore clearly on a future in which competition can develop on a sustainable basis. In order for markets to work positively and efficiently for people," stated Natalie Harsdorf-Borsch.

"Given the inflation crisis, it makes sense to think about further competition reforms and to learn from successful examples abroad. After all, competition enforcement and policy can make a significant contribution to fair market conditions, innovation, quality, lower prices and ultimately to Austria's competitiveness on international markets," stated WIFO Director Gabriel Felbermayr.

"Competition creates jobs and prosperity. It does not only ensure price competition in Austria, but also acts as a powerful engine for innovation and first-class quality. It is therefore of essential importance for advancing technological and economic progress. The importance of competition extends beyond national borders – it is not only the driving force for excellence, but also the driving force for global prosperity. Therefore, international competition rules are needed as an indispensable set of rules to ensure that competition is fair and balanced in order to promote innovation, efficiency and sustainable economic growth worldwide," said Minister for Labor and Economic Affairs, Martin Kocher.

"Competition is the fundamental basis of progress and a guarantee for innovation and change and thus for social and individual prosperity," said Robert Holzmann, Governor of OeNB.

"This is an important moment for the competition community because of the strong evidence of the benefits of competition enforcement and a recognition that societies have been doing too little of it. Competition enforcement provides benefits across the economy like higher productivity, wage increases, open digital markets, lower prices and more innovation", explained Fiona M. Scott Morton, economist at the Yale School of Management.