In this paper I will address the emergence of the European competition law in the 1950s and early 1960s and draw a special focus on how Germany and its national competition policy influenced the European course.
The main part of this paper is subdivided into three parts, the Competition Policy in Germany, the European Coal and Steel Community and the European Economic Community.
Therefore I will first discuss the development of German competition policy.
In particular, I will explain the deconcentration and decartelisation of the German coal and steel industry. Thereafter I will give a short introduction into ordoliberalism as it influenced the German idea of competition policy and lastly give a summary of the history of the German competition law’s beginnings.
Afterwards I will deal with the foundation of European Coal and Steal Community and analyse the Treaty of Paris, the treaty which established the ECSC. Finally I will draw attention on how the Treaty of Paris was implemented and shortly comment on the reconcentration of the German steel industry.
In the last part I will discuss the emergence of the European Economic Community. I will give an overview of the drafting of the Spaak Report and thereafter discuss the Treaty of Rome and the competition policy provisions it contains. That leads me to Regulation 17/62 which implements the Treaty of Rome to finally conclude with the German influence on the
Treaty of Rome and Regulation 17.
Table of Contents
1. Introduction
2. Competition policy in Germany
2.1. Deconcentration and Decartelisation in Germany
2.2. Ordoliberalism
2.3. The Beginnings of German Competition Policy after the Second World War
3. The European Coal and Steel Community
3.1. The Foundation of the ECSC
3.2. The Treaty of Paris
3.3. Implementation of the Treaty of Paris and Reconcentration in Germany
4. The European Economic Community
4.1. The Spaak Report
4.2. The Treaty of Rome
4.3. German Influence on the Treaty of Rome
4.4 Regulation 17 and the Implementation of the Treaty of Rome
5. Conclusion
6. Bibliography
Objectives and Core Themes
This paper examines the emergence of European competition law during the 1950s and early 1960s, specifically investigating how German national competition policy and the underlying ordoliberal philosophy influenced the development of European legal frameworks. The central research question focuses on the extent to which German post-war competition concepts shaped the competition policy of the European Coal and Steel Community (ECSC) and the European Economic Community (EEC).
- The impact of German ordoliberalism on European competition law.
- The deconcentration and decartelisation of the German coal and steel industry.
- Institutional and regulatory development from the Treaty of Paris to the Treaty of Rome.
- The role of the European Commission in enforcing competition rules through Regulation 17.
- Franco-German negotiations and the compromise on common market competition standards.
Excerpt from the Book
2.2. Ordoliberalism
The main ideological influence on the emergence of the German competition law was ordoliberalism, a set of ideas developed in the Freiburg School, which had emerged in the 1930s and 1940s.
The Freiburg School consisted of German intellectuals who positioned themselves against both the totalitarianism of the Nazi regime and state socialism. In 1933 the economist Walter Eucken and the two lawyers, Franz Böhm and Hans Grossmann-Doerth, met in Freiburg and discovered that they held similar positions towards the failings of the Weimar Republic and that their approaches resembled one another.
The basis of ordoliberalism is political and economic liberalism to which the ordoliberal thinkers added new aspects and therefore developed the liberal tradition.
The aim of the ordoliberal doctrine was to restructure the society, which had been destroyed during the World Wars. Economic efficiency which included economic growth, technical development and the efficiency of allocation was important, but meanwhile the ordoliberals perceived that economic power could hinder social justice if it created unequal opportunities for the market participants.
Hence the philosophy demands for a powerful state to establish the legal framework for the economy and to assure individual economic freedom. As economic power can threaten democracy the ordoliberals were opposed to concentrations. Therefore this doctrine calls for a competition policy to act against, for example, cartels.
There were many important representatives of the ordoliberal school who influenced competition law in Germany and Europe. Examples are Ludwig Erhard who was the German Minister of Economics from 1949 to 1963 and later Chancellor or Alfred Müller-Armack who negotiated for the German position during the establishment of the European Economic Community I will later draw attention to.
Consequential the ordoliberal philosophy has to be considered while analysing German competition policy and its influence on Europe.
Chapter Summaries
1. Introduction: This chapter outlines the scope of the paper, focusing on the evolution of European competition law in the 1950s and the specific influence of Germany on this process.
2. Competition policy in Germany: This section explores the post-war deconcentration efforts, the intellectual foundations provided by the ordoliberal school, and the eventual implementation of the German competition law (GWB).
3. The European Coal and Steel Community: This chapter details the establishment of the ECSC, the role of the Treaty of Paris, and the challenges faced in implementing competition rules within the coal and steel sectors.
4. The European Economic Community: This section covers the path from the Spaak Report to the Treaty of Rome, highlighting the intense negotiations regarding competition policy and the subsequent implementation of Regulation 17.
5. Conclusion: This chapter synthesizes the main findings, emphasizing that while German ordoliberal influence was significant, the final European policy resulted from complex negotiations and compromises.
6. Bibliography: A comprehensive list of academic sources, treaties, and primary documents used to support the analysis of European competition policy.
Keywords
Competition policy, European Union, Ordoliberalism, Germany, ECSC, EEC, Treaty of Rome, Treaty of Paris, Decartelisation, Cartels, Mergers, European Commission, Economic integration, Regulation 17, Ludwig Erhard.
Frequently Asked Questions
What is the core focus of this research paper?
The paper examines the formative years of European competition law in the 1950s and 1960s, specifically investigating the role of German national policy and ordoliberal ideology in shaping these early European frameworks.
Which thematic fields are central to the study?
The study centers on the transition from national post-war deconcentration efforts in Germany to the supranational regulation of competition within the ECSC and the EEC.
What is the primary research objective?
The objective is to determine to what degree the German approach to competition, driven by ordoliberal thinkers, influenced the institutional and legal development of the European competition framework.
Which scientific methodology is employed?
The paper utilizes historical and legal analysis, drawing on primary sources such as the Treaties of Paris and Rome, as well as secondary literature on the history of European integration.
What topics are discussed in the main body?
The main body covers the German national competition policy, the foundation and implementation of the ECSC's rules, the negotiation of the EEC under the Treaty of Rome, and the implementation of Regulation 17.
Which keywords best characterize this work?
Key terms include European competition policy, Ordoliberalism, Treaty of Rome, ECSC, German influence, and economic integration.
How did ordoliberalism affect the German negotiating position?
Ordoliberalism provided the intellectual framework for the German insistence on a strong, rule-based competition policy that prohibited cartels and checked the abuse of dominant market power.
Why was the implementation of Regulation 17 challenging for the Commission?
The notification system created an administrative overload for the Commission, which initially lacked the institutional capacity to handle the vast amount of company information required for proper enforcement.
- Arbeit zitieren
- Leonie Fliess (Autor:in), 2015, The Emergence of the Common European Competition Policy. Competition Policy in Germany, the European Coal and Steel Community and the European Economic Community, München, GRIN Verlag, https://www.grin.com/document/368469