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April 1, 20260 citationsOpen Access

Privatization and Quality Differentiation in Mixed Duopoly

Privatization and Quality Differentiation with Excess Burden of Taxation

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Authors

KCKangsik CHOIXLXingyan LU

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Overview

Mixed duopoly analysis shows privatization preference varies with taxation burden in quality competition.

Key Points

  • This research evaluates the effects of privatization in the context of mixed duopoly with varying taxation burdens and quality differentiation.
  • Analyzed the impact of excess burden of taxation on firm strategies in a mixed duopoly setting.
  • Examined the competition between public and private firms producing different quality goods.
  • Utilized theoretical models to assess the desirability of privatization under varying conditions.
  • Privatization is preferred if the excess burden of taxation is large when a private firm offers high quality.
  • Mixed duopoly is favored if a public firm provides high quality under similar taxation burdens.
  • Regardless of public firm quality, privatization is preferable when the excess burden of taxation is intermediate.

Cite This Study

CHOI et al. (2025) studied this question.

synapsesocial.com/papers/69cd7a915652765b073a7d05https://doi.org/10.15057/hje.2025005
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