Optimal degree of privatization in a mixed oligopoly with multiple public enterprises

Duan, Lian (2017): Optimal degree of privatization in a mixed oligopoly with multiple public enterprises.

Abstract

I discuss the optimal degree of privatization in a mixed oligopoly in which multiple public enterprises exist. I find that the optimal degree of privatization is increasing in the number of private firms n and independent of the number of public firms m. These results suggest that no matter how many public firms exist, an increase in the number of private firms would increase the optimal degree of privatization as long as all public firms are partially privatized at the same degree.

• Item Type: MPRA Paper
• Language: English
• Keywords: Quantity-setting; Partial privatization; Mixed oligopoly
• Subjects: C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C72 - Noncooperative Games; H - Public Economics > H4 - Publicly Provided Goods > H42 - Publicly Provided Private Goods; L - Industrial Organization > L1 - Market Structure, Firm Strategy, and Market Performance > L13 - Oligopoly and Other Imperfect Markets

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