Statistic study on the possibility of implementing corporate governance in public enterprises with Local Administrative Units (LAU) as the majority shareholders

Sabin Siserman ()
Additional contact information
Sabin Siserman: Technical University of Cluj Napoca

No 1414, Mathematical Modelling with Application in Economics from Technical University of Cluj Napoca, Department of Economics and Physics

Abstract: The option of governmental monitoring of the management of certain economic entities whose capital/patrimony is in totality or in majority, directly or indirectly, owned by central or local public authorities stemmed from the inappropriateness of the current laws regarding commercial entities when applied to majority state-owned public companies. This incompatibility creates some advantages for the public businesses in question, which refer to privileged positions on the market for certain (especially public) services to the detriment of those provided by private entities. The most harmful consequence of this state of affairs is the ineffective management of public money. To this, one may add disloyal competition towards private economic entities that are active in the same line of work: state-owned enterprises enjoy the favour of being granted execution, service provision or supply contracts by means of direct award, not as a result of public bids. The issuing of the Government Emergency Ordinance no. 109 of November 30, 2011, regarding the corporate governance of public companies, tried to "bring order" in the management of these entities. However, the actual application of the Ordinance was and is still faced with serious difficulties, which the present statistic study aims to highlight, by analysing public enterprises in which local administrative units (LAU) hold the majority of shares.

Keywords: corporate governance; public enterprises; local administrative unit; regionalization; capitalization (search for similar items in EconPapers)
Pages: 12 pages
Date: 2014-06
References: Add references at CitEc
Citations:

Published in Mathematical Modelling with Application in Economics, June 2014, pages 123-134

Downloads: (external link)
ftp://econ.cunbm.utcluj.ro/econ/papers/icmmae/icmmae14-14.pdf First version, 2014 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 500 Failed to connect to FTP server econ.cunbm.utcluj.ro: This is usually a temporary error during hostname resolution and means that the local server did not receive a response from an authoritative server.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:clj:icmmae:1414

Access Statistics for this paper

More papers in Mathematical Modelling with Application in Economics from Technical University of Cluj Napoca, Department of Economics and Physics Contact information at EDIRC.
Bibliographic data for series maintained by Izabela Luiza Pop ().