The Role of Foreign Competition and Cost Asymmetry in Partial Privatization
Posted: 16 Nov 2015
Date Written: November 16, 2015
Abstract
This paper investigates the role of foreign competition and cost asymmetry in influencing privatization policy for domestic firms. With a mixed oligopoly model, we characterize and compare optimal privatization policy, and find that cost asymmetry and foreign competition interact in an interesting way.
Keywords: Privatization, Mixed Oligopoly, Foreign Competition, Cost Asymmetry
JEL Classification: D21, D43, D69, O53
Suggested Citation: Suggested Citation
Liu, Yi and Lahiri, Sajal, The Role of Foreign Competition and Cost Asymmetry in Partial Privatization (November 16, 2015). Available at SSRN: https://ssrn.com/abstract=2691204 or http://dx.doi.org/10.2139/ssrn.2691204
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