Markets

Nine-Fairfax deal approved in a bad decision by the ACCC

Nine-Fairfax deal
Written by The ReReport
As seen in the Source link, written by crikey.com.au on 2018-11-09 10:57:26

The ACCC’s decision to approve Nine’s takeover of Fairfax illustrates both a flawed assessment by the competition regulator and the flawed legislation it implements.

ACCC chair Rod Sims.

The Australian Competition and Consumer Commission’s decision to wave through the Nine Network’s takeover of Fairfax is a poor decision — but the poor law behind it is just as big an issue.

The ACCC admits that the takeover will lessen competition — but not substantially lessen competition — which is the crucial legislative hurdle in the Competition and Consumer Act that the ACCC administers. That call is flawed, and so is the law.