Air Transport World

Rearview mirror.(Editorial)(competition authorities ruling against Qantas/Air New Zealand partnership may be a case of over-regulation)(Editorial)

When rulemakers change the rules, they should take special pains to make themselves aware of the consequences of those changes and alter their behavior accordingly. This rarely happens. The recent decision by the Australian Competition and Consumer Commission that the proposed Qantas/Air New Zealand partnership is "highly anticompetitive" and offers "little benefit to the Australian public" is yet another in a string of reversionary actions by regulators responding on the basis of how competition used to be, not how it works when restrictions are removed.

This practice is the regulatory equivalent of driving while staring in the rearview mirror. The driver has perfect knowledge of what has just happened but complete ignorance of what is about in happen. …

Log in to your account to read this article – and millions more.