This study of how privatization and stabilization (hard budget constraints) affect enterprise behavior shows that … propositions derived by Shleifer and Vishny (1994, 1996) about how privatization and stabilization (hard budget constraints) affect …-owned enterprises. Controlling for institutional differences and the endogeneity of privatization choices, they find that privatization …

successful. Fast privatization is instrumental in encouraging restructuring. On average, a firm that has been privatized for four … the method of privatization. Although case-by-case privatization might result in more foreign ownership, investment, and …-by-case privatization …

Eastern European countries over the initial transition period. We find that privatization is associated with significant … privatization is stronger in economic magnitude and statistical significance as the time elapsed since privatization increases …