Methods of Privatization and Economic Growth in Transition Economies

  title={Methods of Privatization and Economic Growth in Transition Economies},
  author={John Bennett and Saul Estrin and Giovanni Urga},
  journal={Emerging Markets: Economics},
We examine how different methods of privatization might have affected growth in transition economies. Using several econometric specifications, including fixed effects and GMM, we estimate a cross-country panel growth model for 1990-2003. We find only voucher privatization to have been significantly associated with faster growth. Moreover, neither private sector development "per se" nor capital market development exercised a significant influence. We speculate that voucher privatization may… 
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