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Cato Institute Policy Analysis No . 21 : Antitrust Policy : Reform or Repeal ?

The economic case for free markets is said to depend on the existence of business competition. According to the conventional wisdom, the existence of competition ensures that scarce resources will be put to their most efficient use. Competition keeps costs low and induces firms to innovate and engage in technological development. Competition is the institutional vehicle through which private business self-interest is said to promote the public interest.