WSEAS Transactions on Systems

Print ISSN: 1109-2777
E-ISSN: 2224-2678

Volume 17, 2018

Notice: As of 2014 and for the forthcoming years, the publication frequency/periodicity of WSEAS Journals is adapted to the 'continuously updated' model. What this means is that instead of being separated into issues, new papers will be added on a continuous basis, allowing a more regular flow and shorter publication times. The papers will appear in reverse order, therefore the most recent one will be on top.

Volume 17, 2018

Privatization and Government Preference in an International Cournot Triopoly

AUTHORS: Fernanda A. Ferreira, Flávio Ferreira

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ABSTRACT: This paper presents an analysis of the relationship between the privatization of a state-controlled firm and government preferences for tax revenue, by using a mixed Cournot model with domestic and foreign firms. We assume that the government fixes a tax rate on the domestic production and a tariff for imported goods. The state-controlled firm aims to maximize the sum of consumer and producer surplus; the government’s objective function is a weighted sum between social welfare and tax revenue.

KEYWORDS: Privatization, import tariff, government preference, Cournot triopoly


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WSEAS Transactions on Systems, ISSN / E-ISSN: 1109-2777 / 2224-2678, Volume 17, 2018, Art. #26, pp. 237-243

Copyright © 2018 Author(s) retain the copyright of this article. This article is published under the terms of the Creative Commons Attribution License 4.0

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