Document Type

Article

Journal/Book Title/Conference

Economics Research Institute Study Paper

Volume

3

Publisher

Utah State University Department of Economics

Publication Date

1998

Rights

Copyright for this work is held by the author. Transmission or reproduction of materials protected by copyright beyond that allowed by fair use requires the written permission of the copyright owners. Works not in the public domain cannot be commercially exploited without permission of the copyright owner. Responsibility for any use rests exclusively with the user. For more information contact the Institutional Repository Librarian at digitalcommons@usu.edu.

First Page

1

Last Page

31

Abstract

This paper measures the firm-specific technical efficiency for a sample of 44 publicly owned and privately owned petroleum companies in the international oil industry. The empirical investigation is carried out by using the stochastic frontier production function approach. The results indicate the private decision-making units in the oil industry outperformed their publicly owned counterparts in terms of technical efficiency. The implication is privatization can improve the performance of the transformed public enterprises. /

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