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Economic Nationalism and Competition

State aids, subventions to local champions or beauty contests favoring national firms through "hidden criteria" are prevalent and are scrutinized by competition authorities. Two recent examples follow.

  • Prefence given to national bidders, even if their bid was inferior to those of competitors: bid for state-owned nuclear group Areva in France where Alstom and Schneider Electric won against GE and Toshiba. See areva bid.pdf
  • France Telecom recently lost another appeal European courts against the Euroepan Commission for repayment of €1bn of state aid given by the French government between 1994-2002; see france telecom state aid.pdf