IDEAS home Printed from https://ideas.repec.org/a/taf/repsxx/v10y2022i4p462-475.html
   My bibliography  Save this article

Upstream SOEs in the mixed-ownership reform

Author

Listed:
  • Qian Liu
  • Leonard F. S. Wang

Abstract

This article explores possible options of the upstream mixed-ownership reform with imperfect substitute products in a vertically related market composed of one upstream SOE and two downstream profit-maximising retailers. Its focus is not only on incorporating the issue of privatisation into a vertical market structure, but also on extending the traditional upstream–downstream competition model by allowing the active contribution of retailers to enhance values at different costs. It finds that in a vertically related market where retailers’ effort matters, the socially optimal policy towards the upstream SOE is partial privatisation regardless what product differentiation is involved, but the specific degree of privatisation is negatively correlated to the level of effort costs. By contrast, in a vertically related market without retailers’ effort, the government tends to choose full nationalisation of the firm.

Suggested Citation

  • Qian Liu & Leonard F. S. Wang, 2022. "Upstream SOEs in the mixed-ownership reform," Economic and Political Studies, Taylor & Francis Journals, vol. 10(4), pages 462-475, October.
    • Handle: RePEc:taf:repsxx:v:10:y:2022:i:4:p:462-475
    DOI: 10.1080/20954816.2022.2052453
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/20954816.2022.2052453
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/20954816.2022.2052453?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:repsxx:v:10:y:2022:i:4:p:462-475. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/reps .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.