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Cartel Leniency Program And Cartel Enforcement In South Korea, Kyung Jong Han

MPA/MPP/MPFM Capstone Projects

Korea Fair Trade Commission (KFTC) is in charge of competition and consumer protection policies in South Korea. Of these policies, the cartel leniency program is the most powerful enforcement tool to regulate cartel activities which expropriate consumer surplus and create social welfare deadweight loss. The cartel leniency program grants exemptions or reductions in penalties to firms involved in the cartel activities when they cooperate with the cartel investigation of a competition authority. The Korea cartel leniency program was first adopted in 1997 and considerably revised in 2004.

The cartel leniency program can enhance the cartel detection or discovery ability of …