EconPapers    
Economics at your fingertips  
 

Co-Production and Reversed Cream-Skimming in Quasi-markets

Flavio Delbono and Diego Lanzi

Rivista Internazionale di Scienze Sociali, 2012, vol. 120, issue 2, 201-214

Abstract: In this paper, we provide a very simple model to shed light on the issue of managed competition in mixed quasi-markets (i.e. regulated markets in which social and for-profit firms coexist). In doing this, we consider the literature on mixed oligopolies as a reasonable reference point and try to enrich it with the idea of quasi-market. Firstly, our results show that social firms serve the relatively richer portion of the population. Only relatively poor consumers buy units of service from the profit-oriented firm. Secondly, the socially-preferable form of managed competition is to introduce co-production practices and, hence, to raise profit-oriented firm’s production costs. The diffusion of co-production paradigms ensures maximal service quality and eliminates mark-up from the market.

Keywords: Quasi-Markets; Competition; Regulation; Mixed Oligopoly; Social Firm (search for similar items in EconPapers)
JEL-codes: I18 L13 L84 (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

Downloads: (external link)
http://riss.vitaepensiero.it/scheda-articolo_digit ... 002_0075-151024.html (text/html)
Yes

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:vep:journl:y:2012:v:120:i:2:p:201-214

Access Statistics for this article

Rivista Internazionale di Scienze Sociali is currently edited by Maurizio Baussola

More articles in Rivista Internazionale di Scienze Sociali from Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore
Bibliographic data for series maintained by Vep - Vita e Pensiero ().

 
Page updated 2025-03-22
Handle: RePEc:vep:journl:y:2012:v:120:i:2:p:201-214