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The effects of privatization on exports and jobs

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  • Yasuyuki Todo

    (Waseda University, Japan)

Abstract

The privatization of state-owned enterprises (SOE) in transition economies has often been found to improve employment and productivity of privatized SOEs, despite policymakers’ fears regarding possible job cuts. This positive effect can be enhanced if privatization also promotes firms’ exports. A recent firm-level analysis of China reveals that privatization has indeed a positive effect on export propensity, employment, and productivity in both the short and long term. The effect mostly stems from changes in firms’ attitudes about profits and risks due to competitive pressure.

Suggested Citation

  • Yasuyuki Todo, 2016. "The effects of privatization on exports and jobs," IZA World of Labor, Institute of Labor Economics (IZA), pages 309-309, November.
    • Handle: RePEc:iza:izawol:journl:y:2016:n:309
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    privatization; exports; employment; state-owned enterprises; transition economies;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises; Public-Private Enterprises
    • P20 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - General

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