Partial privatization and yardstick competition: evidence from employment dynamics in Bangladesh/ created by V. Bhaskar, Bishnupriya Gupta and Mushtaq Khan

By:

Bhaskar, V [author]

Contributor(s):

Material type: Text

TextSeries: Economics of transition ; Volume 14, number 3Oxford: Blackwell Publishing, 2006Content type:

text

Media type:

unmediated

Carrier type:

volume

ISSN:

09670750

Subject(s):

Public enterprise -- Privatization -- Employment effect -- Bangladesh

LOC classification:

HC244 ECO

Online resources:

Click here to access online

Abstract: We analyse the dynamics of public and private sector employment in Bangladesh, using the natural experiment provided by the partial privatization of the jute industry. The public sector had substantial excess employment of workers initially, but this excess was substantially eroded by the end of the period we studied. The extent of erosion differs between white-collar and manual worker categories, with excess employment persisting only in the former. Our findings suggest that partial privatization increases the efficacy of yardstick competition in the regulation of public firms, because heterogeneous ownership undermines collusion between public sector managers, and also makes excess employment more transparent to the general public.

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Holdings
Item type	Current library	Call number	Vol info	Copy number	Status	Notes	Date due	Barcode
Journal Article	Main Library - Special Collections	HC244 ECO (Browse shelf(Opens below))	Vol. 14, no.3 (pages 459-478)	SP698	Not for loan	For in house use only

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We analyse the dynamics of public and private sector employment in Bangladesh, using the natural experiment provided by the partial privatization of the jute industry. The public sector had substantial excess employment of workers initially, but this excess was substantially eroded by the end of the period we studied. The extent of erosion differs between white-collar and manual worker categories, with excess employment persisting only in the former. Our findings suggest that partial privatization increases the efficacy of yardstick competition in the regulation of public firms, because heterogeneous ownership undermines collusion between public sector managers, and also makes excess employment more transparent to the general public.

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