This study synthesizes and summarizes the theoretical arguments
and empirical evidence that suggest that competition works
remarkably well to reduce costs and improve efficiency and
innovation, even in an arena where competition has typically been
ignored--government-financed services. The arguments and data
marshaled here, drawn primarily from the American experience,
portray the substantial benefits to consumers and taxpayers that
can result from efforts to increase competition in commercial
services previously operated as government monopolies.
Competition in Government-Financed Services will help fortify
the efforts of competition advocates, both in the United States and
in the emerging market economies of Eastern Europe and the
developing world, to get on with the job of strengthening
competition and opening their systems to market forces.
General
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