From public monopsony to competitive market: more efficiency but higher prices
研究了一个由成本最小化的公共企业主导的行业转向完全竞争市场后的影响，发现竞争企业生产率更高但雇佣更少工人，导致价格上升，可能削弱自由化的政治支持。
This paper examines the consequences of creating a fully competitive market in a sector previously dominated by a cost-minimizing public firm. Workers in the economy are heterogeneous in their intrinsic motivation to work in the sector. In line with empirical findings, our model implies that firms in the competitive market reach higher productivity and employ less workers than the public firm. Allocative efficiency therefore increases. Nevertheless, prices of the sector's output rise as competition between private firms for the best motivated workers leads to higher wage cost than under the public monopsony. Political support for liberalization may therefore be limited. Copyright 2009 , Oxford University Press.