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What Drives the Diffusion of Privatization Policy? Evidence from the Telecommunications Sector

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  • Schmitt, Carina

Abstract

This paper examines the extent to which diffusion mechanisms have been important for the privatization of telecommunications in the OECD world. It analyzes a panel dataset for 18 OECD countries between 1980 and 2007 using spatial econometric techniques. The sample includes 18 OECD countries between 1980 and 2007. The empirical findings strongly suggest that spatial interdependencies are significant for privatization policies. First, closely related countries from a geographical or economic perspective influence each other to a greater extent than non-related countries. Second, there is no evidence that governments adopt policies of countries with a similar cultural background or the policies of those countries where privatization has been shown to lead to the intended economic results at the company level. Third, the importance of diffusion is highly influenced by national characteristics such the openness of the economy.

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  • Schmitt, Carina, 2011. "What Drives the Diffusion of Privatization Policy? Evidence from the Telecommunications Sector," Journal of Public Policy, Cambridge University Press, vol. 31(1), pages 95-117, February.
    • Handle: RePEc:cup:jnlpup:v:31:y:2011:i:01:p:95-117_00
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    Cited by:

    1. Crescioli, Tommaso, 2024. "Reinforcing each other: How the combination of European and domestic reforms increased competition in liberalized industries," European Journal of Political Economy, Elsevier, vol. 83(C).
    2. Hicks, Timothy, 2017. "Acting Right? Privatization, Encompassing Interests, and the Left," SocArXiv uuqxg, Center for Open Science.
    3. Crescioli, Tommaso, 2024. "Reinforcing each other: how the combination of European and domestic reforms increased competition in liberalized industries," LSE Research Online Documents on Economics 123605, London School of Economics and Political Science, LSE Library.
    4. Neumayer, Eric & Plümper, Thomas, 2016. "W," Political Science Research and Methods, Cambridge University Press, vol. 4(1), pages 175-193, January.
    5. Timo TREMML, 2019. "Linking Two Worlds? Entrepreneurial Orientation In Public Enterprises: A Systematic Review And Research Agenda," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 90(1), pages 25-51, March.
    6. Noemí Peña-Miguel & Beatriz Cuadrado-Ballesteros, 2021. "Effect of privatisation on income inequality: a European analysis," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 48(3), pages 697-716, August.

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