Advertising self-regulation under scrutiny in Australia

Australia has a plethora of industry bodies applying a multiplicity of voluntary codes regulating advertising practices. Bodies exist within the advertising industry itself and within commercial media associations. Finally, the Media Council of Australia, an umbrella organization of each of the commercial media associations, has promulgated a general code of advertising ethics as well as a number of codes dealing with the advertising of specific goods and services. The Media Council's codes are enforced by the Advertising Standards Council, a private body comprising representatives of the media and the advertising industry and selected community representatives. The potentially anti-competitive consequences of advertising self-regulation in Australia have caused a number of self-regulatory schemes to fall under the scrutiny of the Australian Trade Practices Commission. This article surveys the evaluation by the commission of the extent to which the anticompetitive consequences of self-regulation in Australia are outweighed by benefits to the public resulting from the operation of the schemes falling within its purview. The accountability of advertising self-regulation to the public interest has recently been subjected to close scrutiny in Australia by the Trade Practices Commission which has the task of enforcing Australia's antitrust and fair trade laws. This article examines the structure and operation of advertising self-regulation in Australia together with its evaluation by the Trade Practices Commission.