Steps to Increase Competition and Better Inform Consumers and Workers
Apr 20, 2016
Signed by: Barack Obama
Signed on: Apr 15, 2016
Published on: Apr 20, 2016
Apr 20, 2016
Signed by: Barack Obama
Signed on: Apr 15, 2016
Published on: Apr 20, 2016
Summary
Orders government agencies to find and use their powers to increase business competition, helping shoppers and workers make smarter choices.
What problem does this solve?
Some business practices unfairly limit competition, which can lead to higher prices, worse service, and fewer jobs. This order directs all government agencies to actively promote competition and remove rules that get in the way.
What does this order do?
Requires agencies to promote competition
Orders all executive agencies to use their existing powers to encourage fair competition in the marketplace and help consumers and workers make informed choices.
Identifies anti-competitive practices
Agencies must find specific actions they can take to stop unfair business practices like price fixing or blocking new companies from entering a market.
Establishes reporting deadlines
Sets deadlines for agencies to report their plans. They must submit initial ideas in 30 days, final recommendations in 60 days, and updates every six months.
Refers violations to enforcers
Instructs agencies to report any business behavior that seems to break antitrust laws to the Department of Justice (DOJ) and the Federal Trade Commission (FTC).
Who does this affect?
- Consumers
- Workers
- Small Businesses
What is the real world impact?
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Strengthens the economy
Aims to boost economic growth by ensuring markets are fair. More competition can lead to lower prices, better products, and more new businesses, which creates jobs.
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Increases government oversight
Directs all federal agencies to actively look for ways to regulate markets. Some may argue this expands government power and could lead to unnecessary rules that interfere with business.
When does this start?
This order became effective on April 15, 2016, and includes several deadlines for government agencies to report their progress.
Initial list of actions
Within 30 days of the order (May 15, 2016), agencies must submit an initial list of potential actions to promote competition.
Recommendations to the President
Within 60 days of the order (June 14, 2016), agencies must report their final recommendations and a list of priority actions to the President.
Ongoing progress reports
After the initial report, agencies must report on their plans to promote competition every six months.