Should Telstra Be Privatised?

Allan Brown
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Allan Brown: Griffith University

Economic Analysis and Policy (EAP), 1997, vol. 27, issue 2, pages 133-150

Abstract: This paper identifies and examines the economic issues relating to the proposal to privatise Telstra Corporation Limited. It finds that privatisation is not a necessary condition for improved productivity efficiency of publicly owned enterprises, and that the privatisation of Telstra is likely to result in a significant loss to the net worth of the public sector. It concludes that the balance of benefits and costs from the proposed privatisation of Telstra depends largely upon the company's potential for further efficiency gains, the achievable net sale proceeds, the resulting level of foreign ownership in the national carrier and the implications of privatisation for regulation of the telecommunications industry.

Keywords: Privatization; Privatize (search for similar items in EconPapers)
JEL-codes: L33 L96 (search for similar items in EconPapers)

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