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The scope of public organisations with productive functions: insights from the inefficiency of Italian local public transport

Author

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  • Giacomo Di Foggia

    (University of Milano-Bicocca)

  • Ugo Arrigo

    (University of Milano-Bicocca)

Abstract

It is a well-known fact that reforms necessary to enhance competition and make the economy more attractive play a major role in the Government activity in Europe. Considering the Italian state of affairs, this paper focuses on the inefficiency of public producers in the light of certain market and legal impediments. This paper describes key barriers that undermine the healthy functioning of an important industrial and service sector of the Italian economy: specifically local public transport. This paper also sheds some light on this problem analysing the impact that a controversial regulation framework may have on an industry and suggests that the degree of liberalisation affects the return on investments.

Suggested Citation

  • Giacomo Di Foggia & Ugo Arrigo, 2015. "The scope of public organisations with productive functions: insights from the inefficiency of Italian local public transport," European Journal of Government and Economics, Europa Grande, vol. 4(2), pages 134-154, December.
  • Handle: RePEc:egr:ejge00:v:4:i:2:p:134-154
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    Cited by:

    1. Di Foggia, Giacomo & Beccarello, Massimo, 2018. "Improving efficiency in the MSW collection and disposal service combining price cap and yardstick regulation: The Italian case," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 223-231.

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    More about this item

    Keywords

    State-owned enterprises; efficiency; Italy; local public transport; competition;
    All these keywords.

    JEL classification:

    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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