Public servants: a competitive advantage for public firms?

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Date

2007

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Périmètre
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INRAE




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Guido Friebel et al., « Public servants: a competitive advantage for public firms? », Archive Ouverte d'INRAE, ID : 10670/1.r4jk2f


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In many of the deregulated markets of the EU, incumbent firms compete with new entrants. Incumbent firms may have public servants on their payroll. We investigate the cost and benefit of public servant employment, and present a simple model that shows that payroll taxes for public servants are in equilibrium smaller than the ones for workers with private employee status.

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