The privatization Effect on Competition Degree in Iranian Manufacturing Industries

Document Type : Research Paper

Abstract
The main purpose of this study is evaluation of competition index of Iranian manufacturing industry and the effect of privatization on market structure. In the current research, the performance of Iran privatization schedule is assessed between  and . It should be mentioned that during this time,  milliard Rial is allocated to the private section in which  milliard Rial is belonged to the time after formulating  policy. In details,  is for equity shares,  is for private section and  is for general private share. Moreover,  is as parochial,  is as gradual,  is as preferential,  is as stock is over the counter,  is as negotiated, and  is as auctions. In addition, in the current dissertation, for evaluating the impact of privatization on competition size in Iran, the Hal-Rogers model is applied. Two indicators consisting of the value of privatization of i-firm divide the whole value of i-firm (PRIVA) and another one is the private value divide (PRI) for measuring privatization influence on the amount of competition in developed Hal-Rogers model. The findings indicate that privatization in Iran does not have positive effect on the competition. Based on the results, it is recommended that the competition-based privatization pattern takes the place of previous alternative models.

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  • Receive Date 08 August 2014
  • Revise Date 21 September 2015
  • Accept Date 22 October 2015
  • First Publish Date 22 October 2015
  • Publish Date 20 February 2014