State ownership and control in the Czech Republic

0334202 - NHU-C 2010 DE eng O - Others
Kočenda, Evžen - Hanousek, Jan
State ownership and control in the Czech Republic.
2009
R&D Projects: GA ČR GA402/09/1595; GA MŠMT LC542
Institutional research plan: CEZ:MSM0021620846
Keywords : state ownership * corporate performance * privatization * control
Subject RIV: AH - Economics

We analyze the extent of the integrated control of the state over privatized firms during the post-privatization decade (1995-2005) in the Czech Republic. During this period the integrated control potential of the state resembled a corporate pyramid. While pyramidal control was not fully utilized, the golden share in the hands of the state substantially enhanced its ability to control firms. In terms of corporate performance we show that state control resulted in declining and even negative corporate performance. Integrated state control was shown to be mostly inferior when compared with private types of ownership. State ownership positions are in striking contrast with the lack of capacity to push corporate performance in order to collect larger tax volumes.
Permanent Link: http://hdl.handle.net/11104/0178998