Meno di un minuto

Thousands of firms across Europe are in the hands of municipalities and provinces, both in traditional utility sectors and in industries which should be exposed to competition. While for years the presence of the State in the economic system and within firms in particular was… 

Thousands of firms across Europe are in the hands of municipalities and provinces, both in traditional utility sectors and in industries which should be exposed to competition. While for years the presence of the State in the economic system and within firms in particular was decreasing through the privatization process, local public firms – out of the limelight – were probably expanding their operations. Private firms complain for this supposed “invasion”, but on the other hand private shareholders are often minority partners in these enterprises. This raises at least the problem of rationalising this kind of public presence, which characterizes most European countries, but which is far from homogeneous. Moreover, the presence of different shareholders in the same firm also opens a problem, both as for the ultimate objective function of these firms, and as it calls for an explanation of the new role of the public sector in different industries.