chapter  17
15 Pages

PRIVATIZATION OF STATE-OWNED ENTERPRISES: A FRAMEWORK FOR IMPACT ANALYSIS

WithAndrew D. Cao

The increased acceptance of privatization initiatives in recent years throughout the developing world, Eastern Europe and the former Soviet Union, reflects a recognition of the failure of state-owned enterprises (SOEs) to produce net positive economic effects. However, many decision makers do not know precisely what impacts should be expected because systematic assessments are not conducted prior to implementation, nor are results measured after privatization. It is therefore essential to have a system of impact evaluation to give decision-makers defensible justifications for programme implementation and to maximize the efficiency of programme management.