Rationales, performance and governance of public entreprises. Editorial introduction

We ask how the scope for non-profit objectives in a state-owned enterprise (SOE) in a mixed oligopoly changes because of competition from firms in another country. There is no change if costs and demand are given, unless the trade partner is a low-cost country. However, the scope for non-profit objectives is limited by the country's relative size if wages are market-clearing and if workers and firms are stationary, because of reduced competitiveness caused by higher real wage rates. The total surplus is then not affected by the actions of the SOE. International trade does not otherwise reduce the scope for its non-profit objectives if workers and firms are mobile, but productivity differences might require restrictions in order to avoid a complete relocation of the workforce in either country.Proposition 2. Suppose that neither workers nor firms are mobile. Firms in country B are then always active after integration if ρ < 1, but the SOE and its rivals in country A cannot break even if ρ is larger than A's share of the joint workforce (and the GDP) of A and B.Proof. See Appendix.

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“…, Bernier et al. ). Universal‐service obligations and other non‐profit or strategic objectives are defined as anti‐competitive (Kowalski et al.…”

Section: Introductionmentioning

confidence: 99%

“…They include 200 of the top 2000 global companies and around 19 per cent of global cross‐border trade (Bernier et al. ). Our research topic is essential also because of the belief that globalization necessitates conforming to the policies of other countries, in particular if the economy is small and open.…”

Section: Introductionmentioning

confidence: 99%

The Scope for Non‐profit Objectives in a Mixed Oligopoly Under International Competition

Willner

Grönblom

Kainu

et al. 2018

Ann Public Coop Econ

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“…On the one hand, while there are several established frameworks to analyze the performance of private enterprises through financial and economic indicators, they are not suitable for public entities (Bouckaert & Halligan, 2008; Boyne, 2002), including SoEs, because they do not take into consideration either their public nature or their ‘raison d'être’, mission and policy goals. On the other hand, the evaluation of public entities requires planning a framework and selecting dimensions and indicators depending not only on the final aim of such exercise, but also on the specific characteristics of those public organizations and of the issues to be investigated, which in a public context are known to be multidimensional, ambiguous because they involve a variety of stakeholders with different interests and difficult to measure as there is no objective measurement of outcomes and cause‐effect relations are uncertain as they depend on endogenous as well as exogenous factors (Bernier, Florio, & Willner, 2017; Hansen & Moon, 2017; Schoute, Budding, & Gradus, 2018).…”

Section: Introductionmentioning

confidence: 99%

Evaluating the performance of local SoEs as output‐maximizing entities: The case of Friuli Venezia Giulia

Massarutto

Garlatti

Miani

et al. 2020

Ann Public Coop Econ

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Publicly owned private‐law organizations represent a sort of a hybrid between pure‐public and pure‐private management forms, and a rather successful one, at least if one considers the ongoing success that such organizations encounter in many European countries, especially at the local level. Economic theory has devoted scant attention to the reasons that may confer a competitive advantage to public enterprises, vis‐à‐vis both entirely privatized companies and traditional public bureaucracies. The paper develops a conceptual framework to systematically evaluate the performances of local SoEs in relation to their ability to achieve policy goals. By considering SoEs as output‐maximizing organizations rather than profit‐maximizing ones, the proposed approach entails an interactive dialogue between evaluators, policymakers and managers to deliver better evaluation outcomes. The methodology is applied to assess the performance of a sample of local SoEs owned by the Region Friuli Venezia Giulia in Italy in an effort to support policymakers in deciding whether to maintain its shareholding participations or divest them, that is, privatizing the public services involved.

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“…This special issue of the Annals of Public and Co-operative Economics contributes to the growing research in this area. It is based on a number of papers presented at the Milan European Economy Workshops in recent years and follows other special issues in this journal edited by Florio and Fecher (2011) and Bance and Obermann (2015) as well as special issues on SOEs published in other journals and edited by Florio (2013Florio ( , 2014, Cuervo-Cazurra (2014), Grossi et al (2015) and Bernier et al (2016).…”

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confidence: 99%

The Continuing Importance of State‐owned Enterprise in the Twenty‐first Century: Challenges for Public Policy

Bernier

Reeves

2018

Ann Public Coop Econ

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Rationales, performance and governance of public entreprises. Editorial introduction

Cited by 3 publications

References 18 publications

The Scope for Non‐profit Objectives in a Mixed Oligopoly Under International Competition

The Scope for Non‐profit Objectives in a Mixed Oligopoly Under International Competition

Evaluating the performance of local SoEs as output‐maximizing entities: The case of Friuli Venezia Giulia

The Continuing Importance of State‐owned Enterprise in the Twenty‐first Century: Challenges for Public Policy

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