Commerce Commission Needs More Firepower to Boost Competition

Economist Cameron Bagrie believes that giving the Commerce Commission more authority is crucial to boosting competition and wages in New Zealand. He thinks this would drive down costs, increase innovation, and productivity growth.

The unemployment rate has hit an 11-year high with around 171,000 New Zealanders out of work, according to recent data. This, combined with increasing inflation and interest rates, paints a gloomy picture for the economy.

Bagrie thinks the Commerce Commission needs more power to tackle the cost of living crisis and low wages by creating more competition across sectors. He suggests giving it independence, a charter, and a target of keeping inflation between 1-3%. This would allow it to 'go really hard' in driving greater competitive settings.