Privatization in an international mixed oligopoly: The role of product differentiation under price competition

Arbeitspapier

By developing a linear model in a two-country framework of international price competition, we show how the degree of product differentiation and the cross-country distribution of private firms affect the strategic privatization choices made by governments concerned with their own country's welfare. More particularly, the work points out that sufficiently low product differentiation may lead public ownership to be optimally chosen to restrict competition in the country with the larger number of firms, and privatization to be global welfare enhancing in this case.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: EERI Research Paper Series ; No. 06/2017

Classification and Topics

• Classification: Wirtschaft ; Multinational Firms; International Business ; Oligopoly and Other Imperfect Markets ; Public Enterprises; Public-Private Enterprises
• Subject: Mixed oligopoly ; price competition ; strategic privatization ; international markets

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Chirco, Alessandra ; Scrimitore, Marcella
• Event: Veröffentlichung
• (who): Economics and Econometrics Research Institute (EERI)
• (where): Brussels
• (when): 2017

Further information

• Handle: http://hdl.handle.net/10419/179407
• Last update: 10.03.2025, 11:43 AM CET