ABSTRACT
This chapter discusses the rationale behind the application of the Competition and Consumer Act and its importance in creating a climate that promotes competition and therefore economic efficiency. It describes the Act's origins and structure. The chapter gives the some practical applications of the Act. The lowering of tariff barriers to imports intensified the degree of competition faced by Australian manufacturers and farmers in the domestic market. This increase in competition did not however affect all of the Australian economy, as a great deal of economic activity does not directly compete with imports. The retail trades, the building industry, domestic transport industries and a number of other industries are non-traded goods in that they operate within the domestic economy and do not face competition from imported goods or services.
