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State-owned enterprises: Struggling to be efficient

In: Handbook on Public Sector Efficiency

Author

Listed:
  • Paulo Medas
  • Mouhamadou Sy

Abstract

State-owned enterprises (SOEs) are present around the world and are very diverse in size and corporate governance. Differently from private firms, they have to balance profit maximization objectives with public mandates set by governments that can involve large costs. They operate in many sectors, but are especially prevalent in network sectors, providing public utilities, transportation, and energy. Their performance tends to be weaker than their private counterparts, but there are large differences across countries and sectors. This chapter examines the main drivers of SOEs’ efficiency and what governments can do to get the most out of them.

Suggested Citation

  • Paulo Medas & Mouhamadou Sy, 2023. "State-owned enterprises: Struggling to be efficient," Chapters, in: António Afonso & João Tovar Jalles & Ana Venâncio (ed.), Handbook on Public Sector Efficiency, chapter 10, pages 219-249, Edward Elgar Publishing.
  • Handle: RePEc:elg:eechap:19879_10
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