Abstract Effectively reducing overcapacity is one of the main contents of China’s current economic work. State-owned enterprises in overcapacity industries are also facing the key tasks of deepening the reform of mixed ownership. However, regarding the development of state-owned enterprises in the context of de-capacity, the specific impact of the social welfare effect is lacking in literature research. Based on the theory of mixed oligopoly, this paper constructs a theoretical model of the effects of mixed ownership reform represented by the privatization of state-owned enterprises on the output and social welfare effects of different types of enterprises under the background of excess capacity regulation. The panel data of six industries with overcapacity characteristics from 2008 to 2016 were selected for empirical analysis. The results show that the improvement of the degree of privatization of state-owned enterprises makes the output level of state-owned enterprises lower, while the output level of private enterprises and foreign-funded enterprises increase, and the level of social welfare a downward trend. The increase of industrial subsidies makes the level of social welfare increase first and then decrease. The downward trend of “U-shaped”; the increase of production restriction policy has a “U-shaped” trend of decreasing the social welfare effect of the industry with lower privatization level, and the social welfare effect of the medium-sized privatization industry is decreasing. Based on the conclusions, this paper proposes policy recommendations that related governments should further promote the reform of state-owned enterprises in a fully competitive industry, transfer subsidy policies to research and development link, use capital to guide output control, and build a mutually beneficial and open foreign market.
WANG Shaoguo,DENG Yang. A Research on the Impact of Privatization of State-owned Enterprises on Social Welfare Effect in Overcapacity Industry. Economic Survey, 2020, 37(3): 092.
2020, Vol. 37 
