Nothing Special   »   [go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/a/fec/journl/v1y2006i1p39-47.html
   My bibliography  Save this article

SOE Reform under Oligopolistic Market Structure: The Optimal Choice of State Shares

Author

Listed:
  • SUN Qunyan

    (Lingnan College, Sun Yat-Sen University, PRC)

  • LI Jie

    (Lingnan College, Sun Yat-Sen University, PRC)

  • ZHANG Anming

    (Commerce and Business Administration, University of British Columbia, Canada)

Abstract
This paper examines the effect of the change of state shares in a state-owned enterprise (SOE) on the efficiency of the whole society and the payoff of the government. This issue is addressed by setting up a mixed oligopolistic competition model and dividing the analysis into two cases: closed economy and open economy. The basic results are as follows: If the relative production efficiency of an SOE is too low, complete state ownership is not optimal, and privatization will be a necessary step; however, if the relative production efficiency of an SOE is not too low, complete privatization is not optimal both for the government and from the perspective of social welfare. The results can, to a certain extent, provide theoretical support to the government s idea on the SOE reform.

Suggested Citation

  • SUN Qunyan & LI Jie & ZHANG Anming, 2006. "SOE Reform under Oligopolistic Market Structure: The Optimal Choice of State Shares," Frontiers of Economics in China-Selected Publications from Chinese Universities, Higher Education Press, vol. 1(1), pages 39-47, March.
    • Handle: RePEc:fec:journl:v:1:y:2006:i:1:p:39-47
    as

    Download full text from publisher

    File URL: http://journal.hep.com.cn/fec/EN/10.1007/s11459-005-0007-9
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Li, Lixing, 2008. "Employment burden, government ownership and soft budget constraints: Evidence from a Chinese enterprise survey," China Economic Review, Elsevier, vol. 19(2), pages 215-229, June.

    More about this item

    Keywords

    state shares; transition economy; employment burden; mixed oligopoly; WTO entry and foreign competition;
    All these keywords.

    JEL classification:

    • P2 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies
    • L3 - Industrial Organization - - Nonprofit Organizations and Public Enterprise
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance

    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:fec:journl:v:1:y:2006:i:1:p:39-47. See general information about how to correct material in RePEc.

    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 bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Frank H. Liu (email available below). General contact details of provider: .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.