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Liberalization and efficiency in the European postal sector

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  • Cipriano Quiros

Abstract

Market competition has been widely considered as one of the main determinants of business efficiency. This study evaluates this hypothesis for European postal operators. In particular, it takes advantage of the coexistence of various degrees of competition in national postal markets and the differences in regulations established among countries. For this purpose, a stochastic production frontier model is estimated, using a database of 17 European national postal operators. The results show that the degree of competition in domestic markets and the independence of national regulatory authorities are the main factors to explain the increase in efficiency in the postal sector. This reinforces the need for transposing the European regulatory framework into all national postal markets and opening them up to competition with no further delay.

Suggested Citation

  • Cipriano Quiros, 2011. "Liberalization and efficiency in the European postal sector," Applied Economics Letters, Taylor & Francis Journals, vol. 18(12), pages 1155-1158.
    • Handle: RePEc:taf:apeclt:v:18:y:2011:i:12:p:1155-1158
    DOI: 10.1080/13504851.2010.528350
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    References listed on IDEAS

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    1. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-332.
    2. Laure Latruffe & Kelvin Balcombe & Sophia Davidova & Katarzyna Zawalinska, 2004. "Determinants of technical efficiency of crop and livestock farms in Poland," Applied Economics, Taylor & Francis Journals, vol. 36(12), pages 1255-1263.
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    1. Blagojević, Mladenka & Ralević, Predrag & Šarac, Dragana, 2020. "An integrated approach to analysing the cost efficiency of postal networks," Utilities Policy, Elsevier, vol. 62(C).
    2. Tochkov, Kiril, 2015. "The efficiency of postal services in the age of market liberalization and the internet: Evidence from Central and Eastern Europe," Utilities Policy, Elsevier, vol. 36(C), pages 35-42.

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