TRPC Pte. Ltd.

Telecommunications Privatization: Evidence and Some Lessons

This paper looks at research results of studies of privatization in its narrow sense of full or partial transfer of ownership of a SOE to the private sector, usually by share issue privatization (SIP). Econometric research examines the results of privatization, while non-econometric research tends to study the process and context of privatization. Overall the evidence suggests that while privatization is usually associated with faster fixed line growth, greater profitability and higher productivity, evidence on prices, net employment effects and capital investment is less clear-cut.

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