IDEAS home Printed from https://ideas.repec.org/p/ris/aiccon/2011_082.html
   My bibliography  Save this paper

Co-Production and Managed Competition in Mixed Quasi-markets

Author

Listed:
  • Delbono, Flavio

    () (Associazione Italiana per la Cultura della Cooperazione e del Non Profit)

  • Lanzi, Diego

    () (Associazione Italiana per la Cultura della Cooperazione e del Non Profit)

Abstract

In this paper, we provide a very simple model to shed light on the issue of managed competition in mixed quasi-markets (i.e. regulated markets in which social and for-profit firms coexist). In doing this, we consider the literature on mixed oligopolies as a reasonable reference point and try to enrich it with the idea of quasi-market. Firstly, our results show that social firms serve the relatively richer portion of the population. Only relatively poor consumers buy units of service from the profit-oriented firrm's production costs. Secondly, the socially-preferable form of managed competition is to introduce coproduction practices and, hence, to raise profit-oriented firm’s production costs. The diffusion of coproduction paradigms ensures maximal service quality and eliminates mark-up from the market.

Suggested Citation

  • Delbono, Flavio & Lanzi, Diego, 2011. "Co-Production and Managed Competition in Mixed Quasi-markets," AICCON Working Papers 82-2011, Associazione Italiana per la Cultura della Cooperazione e del Non Profit.
  • Handle: RePEc:ris:aiccon:2011_082
    as

    Download full text from publisher

    File URL: http://www.aiccon.it/working_paper_scheda.cfm?wid=223&archivio=C
    File Function: Full text file
    Download Restriction: no

    Other versions of this item:

    More about this item

    Keywords

    QUASI-MARKETS; COMPETITION; REGULATION; MIXED OLIGOPOLY; SOCIAL FIRM;

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:aiccon:2011_082. 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: (Paolo Venturi). General contact details of provider: http://edirc.repec.org/data/aiccoea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.