Privatization in Transition Countries: A Sampling of the Literature

44 Pages Posted: 10 Feb 2006

See all articles by Oleh Havrylyshyn

Oleh Havrylyshyn

International Monetary Fund (IMF) - European Department

Donal McGettigan

International Monetary Fund (IMF) - Policy Development and Review Department

Date Written: January 1999

Abstract

This paper reviews a selection of studies on privatization experiences in transition countries. Empirical studies almost invariably show privatized enterprises outperform state enterprises. Moreover, the literature identifies de novo firms as being clearly the best performers, followed by outsider-dominated firms, while insider-dominated firms are the least efficient among those newly privatized. The importance of de novo firms in enlarging the private sector in transition economies is reviewed, along with the question of whether privatization efforts support or hinder de novo private sector development. Finally, the paper discusses the importance of providing a suitable market environment for successful private-sector development.

Keywords: Privatization, transition, state-owned enterprises, de novo enterprises, mass privatization, vouchers

JEL Classification: L10, L32, L33, P20, P31

Suggested Citation

Havrylyshyn, Oleh and McGettigan, Donal, Privatization in Transition Countries: A Sampling of the Literature (January 1999). IMF Working Paper, Vol. , pp. 1-44, 1999. Available at SSRN: https://ssrn.com/abstract=880533

Oleh Havrylyshyn (Contact Author)

International Monetary Fund (IMF) - European Department ( email )

700 19th Street NW
Washington, DC 20431
United States

Donal McGettigan

International Monetary Fund (IMF) - Policy Development and Review Department ( email )

700 19th St. NW
Washington, DC 20431
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
547
Abstract Views
2,448
rank
50,221
PlumX Metrics