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The performance impact of firm ownership transformation in China


  • Beirne, John
  • Liu, Guy S.
  • Sun, Pei


Does firm ownership change affect performance? On the basis of a mean-value analysis and a fixed effects panel analysis of over 1100 Chinese companies during the period of ownership reform (1997-2003), this paper examines the performance impact of firm ownership transformation in China. The data used allows us to compare the performance impacts of different methods taken to restructure the ownership of state firms, such as full versus partial privatisation. For China, a state-capitalist nation and the world's largest state sector under transition, the mix of state and private ownership JEL Classification: L33, O40, P27

Suggested Citation

  • Beirne, John & Liu, Guy S. & Sun, Pei, 2013. "The performance impact of firm ownership transformation in China," Working Paper Series 1598, European Central Bank.
  • Handle: RePEc:ecb:ecbwps:20131598

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    More about this item


    Chinese enterprise reform; corporate governance; firm ownership; firm performance; privatisation;

    JEL classification:

    • L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Comparison of Public and Private Enterprise and Nonprofit Institutions; Privatization; Contracting Out
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects

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