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 …

International organizations promote privatization as precondition for economic development. But is there really too … little privatization? This political economy model asks for the incentives of governments to privatize or restructure a state …-owned firm. Different government types are compared to identify the political and institutional determinants of privatization …