EU anti-trust laws hurt their economies, make markets less competitive
Europe's highest court ruled Thursday that setting minimum retail prices for tobacco in Ireland, France and Austria is against European laws.
The three countries all argued that minimum prices protect public health by making sure tobacco isn't too cheap.
The European Court of Justice ruled that setting minimum retail prices was against the law as it hindered competition. The court also said that the countries had other ways of battling the health effects of smoking, for example by raising excise duties on the products. . . .
Suppose you want to buy a new digital electronic camera. You go to a store and have the store spend lots of time let you look at the different cameras and answer your questions. People do that and then they go and try to find the cheapest price they can find for the camera that they want. The problem that creates is that the store doesn't spend the money to teach customers about the different cameras. Consumers are hurt and fewer cameras are sold. How to solve this problem? Have minimum retail price regulations on the retailers that sell your cameras.