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The Rule of Law, Market Building Institutions and Competition Law in Post-Communist Countries - The Experience of Croatia

The development of market building institutions in European ex-socialist countries started in the 1990s. The transition from a socialist system to a market economy necessitated a comprehensive change of national laws, as well as an institutional overhaul. Relatively soon after the Wende, for a large group of Central and East European countries, the transition was made easier by the process of EU rapprochement, which ended in 2004, and in 2007 for Bulgaria and Romania, when those countries became EU member states. Croatia, due to various reasons, including a belligerent break-up of Yugoslavia, went through the same process at a later point in time, achieving the EU membership in 2013. In this paper, the experience of Croatia will be used to showcase challenges related to building strong competition authorities in post- socialist economies in parallel to building the rule of law. Although we are drawing mostly from the experience of Croatia, developments in other countries such as Poland, Hungary and Slovenia are considered. The paper focuses on three points: 1. the interplay between the rule of law and competition law ; 2. the challenges to building a credible market authority and a robust competition system from the perspective of the rule of law ; and 3. the rule of law and judicial enforcement of competition law.

rule of law, competition law, post-transition countries, competition authority, transition

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