Bank and competition inquiries to probe market power

  • 📰 FinancialReview
  • ⏱ Reading Time:
  • 68 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 31%
  • Publisher: 90%

Business News News

Business Business Latest News,Business Business Headlines

Bank chief executives will be called before Parliament to account for the interest rates on deposits and loans, and how they are treating vulnerable customers as cost of living pressures bite.

Dr Mulino, who has a PhD in economics from Yale University in the United States, said the banks would also face scrutiny by a parallel inquiry into competition.The inquiry into promoting economic dynamism, competition, and business formation will examine how healthy competition can enhance the wellbeing of Australians.

More broadly, Dr Mulino said the inquiry would examine how encouraging healthy competition, stimulating the creation of more businesses and fostering entrepreneurship could enhance the wellbeing of Australians.“The committee will examine the extent of market concentration, the fall in the establishment of new enterprises, the increase in [price] mark-ups, and reduction in job mobility – and whether these have contributed to a decline in economic dynamism.

He said the committee would scrutinise the extent to which the consolidation of market power had undermined productivity, stifled wages, created more fragile markets and led to higher price mark-ups. He said there had been two significant inquiries into competition over the past few decades – the 1993 Hilmer report and the 2014 Harper review.“The economy has changed significantly over the past decade or so, particularly in digital technology and disruptive new technologies.Dr Mulino said that new digital technologies and approaches could be a very effective way to increase competitive tension, but they could also create regulatory challenges.

is Economics editor at Parliament House, Canberra. He writes on economics, politics and business. John was Washington correspondent covering Donald Trump’s election. He joined the Financial Review in 2008 from Treasury.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

The Government has no idea! Banks rule the world economy - just look at the bail outs the banks receive! The public just get sold out!!!!

Theatre

Because that always works.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Why business is shying away from campaigning for the VoiceLeading directors warn the referendum designed to give Aboriginal and Torres Strait Islander people a voice to parliament is complex and no one knows what it will look like. Gifting a government, any government a constitutional blank cheque set in concrete is madness. No way. australian dailytelegraph Politics_SMHAGE SkyNewsAust Yes too far too complex for those nobody ninnies? Best vote informal as usual? Scare campaign predictably in full swing. 🙄🥱
Source: FinancialReview - 🏆 2. / 90 Read more »