Competition law and policy in crisis and the rise of the expansive state

Abstract Competition Law and Policy has long been shaped by the Limited State paradigm, which emphasized minimal government intervention and framed competition enforcement as a narrowly focused, technocratic exercise. However, recent crises—including the 2008 Financial Crisis, the coronavirus disease-2019 (COVID-19) pandemic, and geopolitical shifts—have triggered a transition toward the Expansive State. This article makes an original contribution by analysing how the old paradigm shaped Competition Law and Policy, and how its rejection is now challenging the system, necessitating a rethinking of values, priorities, and institutional roles. It argues that beyond traditional enforcement, advocacy must become a core function of competition agencies to ensure competition principles are not overlooked by the Expansive State but remain actively considered in policymaking. The analysis highlights the need to reclaim neglected enforcement areas, address entrenched corporate power, and prevent further market concentration. At the same time, it warns against the risks of political instrumentalization, cautioning against the potential marginalization of Competition Law and Policy. Ultimately, the article calls for an adaptive, forward-looking framework that balances enforcement with evolving public interest considerations, ensuring Competition Law and Policy continues to foster economic dynamism, innovation, and consumer welfare in the Expansive State era.