workable competitionthe specification of standards of MARKET STRUCTURE and MARKET CONDUCT that are likely to result in an acceptable MARKET PERFORMANCE. Fig. 199 lists one such classification.
Definitions of workable competition represent an effort to provide more useful guidelines in applying COMPETITION POLICY to real world markets than can be drawn from the theoretical ‘ideal’ state of PERFECT COMPETITION. There are, however, important operational difficulties involved in stipulating acceptable norms: for example: what is meant by an ‘appreciable’ number of firms? what levels of profits are ‘fair’? See also MARKET-STRUCTURE-CONDUCT-PERFORMANCE SCHEMA, CONTESTABLE MARKET, PUBLIC INTEREST, THEORY OF MARKETS, MONOPOLY.