Abstract

This study concerns the effects of ownership on choice of technology and efficiency, The Mexican cement industry has a wide variety of owners including multinationals, domestic firms, and workers cooperatives, A frontier production function is used to estimate measures of technical efficiency of the individual plants and these are then analyzed with respect to ownership, Contrary to many earlier studies we do not find multinationals to be more efficient and cooperatives to be less efficient than ordinary enterprises, We do, however, find considerable differences among the companies in each group, showing that one should be very careful in generalizing about the effects of ownership.

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