The laissez-faire economic principle implies that market forces of demand and supply coupled with the profit motive of commercial entities guide and determine economic activity, stimulate growth, spur innovation and reduce wastage of resources with a view to offering end consumers a wide array of choices available at competitive pricing.

A fair competition is the natural outcome of finely tuned balances between the burden borne by producers and the benefit transmitted to consumers. The burden usually comes in the shape of an applicable legal regime — such as a law of contract, product liability regime and other regulatory confines, including inter alia fiscal and monetary policies of the state.

The benefit, on the other hand, is often characterised by the welfare of the consumer, which in turn includes dispersed control over access to economic resources and a wide range of choices available to consumers, free from arbitrary dictates of anti-competitive practices.

When this fine balance is disturbed or when commercial entities find it hard to do business and struggle to remain competitive, they switch to unfair practices, resulting in a market failing to accommodate fair competition. In such scenarios, the large producers, such as oligopolies, tend to get ahead of the competition by forming cartels and abusing their dominant position.

The Constitution of Pakistan, 1973, does not fully embrace laissez-faire and rather adopts a mixed economy system in line with Islamic principles of social welfare. Article 18, read with Article 151 of the Constitution, entitles every citizen to conduct any lawful trade or business and allows for free trade among provinces subject to........

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