International Trade and Strategic Privatization
The literature on mixed oligopoly does not consider that there is strategic interaction between governments when they decide whether to privatize their public firms. In order to analyze this quetion we consider two countries; In each country there is one public firm and n private firms. Firms have a constant marginal cost of production and the public firm is less efficient than the private firms. In this framework, we show that when the marginal cost of the public firms takes an intermediate value only one government privatizes its public firm and that government obtains a lower social welfare than the other.
|Date of creation:||Mar 2001|
|Contact details of provider:|| Postal: Avda. Lehendakari, Aguirre, 83, 48015 Bilbao|
Phone: + 34 94 601 3740
Fax: + 34 94 601 4935
Web page: http://www.ea3.ehu.es
More information through EDIRC
|Order Information:|| Postal: Dpto. de Econometría y Estadística, Facultad de CC. Económicas y Empresariales, Universidad del País Vasco, Avda. Lehendakari Aguirre 83, 48015 Bilbao, Spain|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Vining, Aidan R & Boardman, Anthony E, 1992. "Ownership versus Competition: Efficiency in Public Enterprise," Public Choice, Springer, vol. 73(2), pages 205-239, March.
- White, Mark D., 1996. "Mixed oligopoly, privatization and subsidization," Economics Letters, Elsevier, vol. 53(2), pages 189-195, November.
- Estrin, Saul & de Meza, David, 1995. "Unnatural monopoly," Journal of Public Economics, Elsevier, vol. 57(3), pages 471-488, July.
- Megginson, William L & Nash, Robert C & van Randenborgh, Matthias, 1994. " The Financial and Operating Performance of Newly Privatized Firms: An International Empirical Analysis," Journal of Finance, American Finance Association, vol. 49(2), pages 403-452, June.
- Kenneth Fjell & Debashis Pal, 1996. "A Mixed Oligopoly in the Presence of Foreign Private Firms," Canadian Journal of Economics, Canadian Economics Association, vol. 29(3), pages 737-743, August.
- de Fraja, Giovanni & Delbono, Flavio, 1990. " Game Theoretic Models of Mixed Oligopoly," Journal of Economic Surveys, Wiley Blackwell, vol. 4(1), pages 1-17.
- Juan Bárcena-Ruiz & María Garzón, 2006.
"Mixed Oligopoly and Environmental Policy,"
Spanish Economic Review,
Springer;Spanish Economic Association, vol. 8(2), pages 139-160, June.
- Bárcena Ruiz, Juan Carlos & Garzón San Felipe, María Begoña, 2001. "Mixed Oligopoly and Environmental Policy," BILTOKI 2001-05, Universidad del País Vasco - Departamento de Economía Aplicada III (Econometría y Estadística).
- Pal, Debashis, 1998. "Endogenous timing in a mixed oligopoly," Economics Letters, Elsevier, vol. 61(2), pages 181-185, November.
- Debashis Pal & Mark D. White, 1998. "Mixed Oligopoly, Privatization, and Strategic Trade Policy," Southern Economic Journal, Southern Economic Association, vol. 65(2), pages 264-281, October.
- de Fraja, Giovanni & Delbono, Flavio, 1989. "Alternative Strategies of a Public Enterprise in Oligopoly," Oxford Economic Papers, Oxford University Press, vol. 41(2), pages 302-311, April. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:ehu:biltok:200107. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Alcira Macías)
If references are entirely missing, you can add them using this form.