Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Promoting competition, protecting human rights – Gönenç GÜRKAYNAK – ELIG – November 2016 OECD discussion

1,833 views

Published on

This presentation by Gönenç GÜRKAYNAK, Managing Partner, ELIG Attorneys-at-Law, Turkey was made during the discussion on "Promoting competition, protecting human rights" held at the 15th Global Forum on Competition on 1 December 2016. More papers and presentations on the topic can be found out at www.oecd.org/competition/globalforum/promoting-competition-protecting-human-rights.htm

  • Be the first to comment

  • Be the first to like this

Promoting competition, protecting human rights – Gönenç GÜRKAYNAK – ELIG – November 2016 OECD discussion

  1. 1. Gönenç Gürkaynak, Esq. Attorney at Law HUMAN RIGHTS, COMPETITION AND CORRUPTION OECD GLOBAL FORUM ON COMPETITION Promoting Competition, Protecting Human Rights December 1, 2016
  2. 2. FREEDOM OF SPEECH INNOVATION HUMAN RIGHTS COMPETITION 2
  3. 3. • A right that cannot be claimed does not exist. • The first mandatory step in broadening the scope of rights to maximize social welfare is to maintain and improve freedom of expression with a conscious choice of legal policy. 1. The freedom of expression as the basis of all other rights 3
  4. 4. • As the market for ideas becomes freer, the universe of ideas, which also incorporates innovative ideas, will expand and strengthen as well. • Ideas will breed ideas and proliferate competition of ideas. More resilient, tested and perfected ideas will prevail, promoting innovative thought. 2. Freedom of speech as an engine of innovation 4
  5. 5. • As undertakings become more efficient, they are incentivized to compete with other players in the market to pursue their profit seeking agenda. • Innovation fuels competition while more competition causes innovation to remain as a priority point. • Innovation helps to drive economic growth and address socio-economic challenges such as poverty and health. (OECD, 2012) 3. Innovation feeds into competition with its disruptive interferences and competition in turn motivates further innovation. 5
  6. 6. 3. Innovation feeds into competition with its disruptive interferences and competition in turn motivates further innovation. An early Google team outside the company's first Palo Alto office 6
  7. 7. 3. Innovation feeds into competition with its disruptive interferences and competition in turn motivates further innovation. 7
  8. 8. • More than 5% of global GDP (US$ 2.6 trillion) / over US$ 1 trillion paid in bribes each year. (OECD, 2014) • Unstable governments / history of conflicts / low GDP per capita income / low human development indices. (OECD, 2014) • Extractive institutions help corruption, feed poverty and income imbalances, and distort the playing field for competition demotivating industry participants. 4. Chasing off the Wolves: Corruption as the Entropy in the Ecosystem 8
  9. 9. • Corruption favors connections, inclusion of artificial parameters in the marketplace and outcomes that are not owed to the natural working of free markets. • The motivation to gain a competitive edge over competitors through competition on the merits cannot be maintained in a corrupt environment. • Freedom of speech fosters competition by way of both: (i) increasing transparency and fighting corruption; (ii) directly fostering innovative thought processes. 5. Anticorruption, antitrust and freedom of speech as companions 9
  10. 10. • Middle income trap is a function of productivity gap, readily available technology and potential for structural change. Innovation may kindle economic growth through increases productivities and efficiencies, thereby curing the middle income trap. • A country can escape from middle income trap by "having a transformation through diversification into a greater number of products as well as movement into higher value- added products over time". (OECD, 2012) • Extractive institutions lead to immunodeficiencies for middle income trap. 6. Escaping the middle income trap through innovation 10
  11. 11. 7. The Relationship Between Corruption and the Middle Income Trap 11
  12. 12. 7. The Relationship Between Corruption and the Middle Income Trap Source: Corruption Perceptions Index and Global Innovation Index (2015) Global Competitiveness Index (2014-2015) Corruption/Ranking Innovation/Ranking Competitiveness/Ranking Switzerland 86 (7) 68.3 (1) 5.70 (1) United Kingdom 81 (10) 62.4 (2) 5.41 (9) Spain 58 (36) 49.1 (27) 4.55 (35) Turkey 42 (66) 37.8 (58) 4.46 (45) Brazil 38 (76) 34.9 (70) 4.34 (57) Madagascar 28 (123) 24.4 (125) 3.41 (130) Yemen 18 (154) 20.8 (137) 2.96 (142) 12
  13. 13. 13
  14. 14. People who made competition happen... Environment to sustain innovation cannot be corrupt; it must be watered with freedom of speech. 14
  15. 15. 15

×