This paper evaluates performance differences between government owned,
mixed sector and private sector enterprises in India for the period 1
973-1974 to 1988-1989. The results establish that enterprises owned by
the central government and state governments are less efficient than
mixed or private sector enterprises, while mixed sector enterprises ar
e less efficient than those in the private sector. The results contrad
ict extant evidence finding no performance differences between governm
ent-owned and private firms in India. There have, however, been inter-
temporal efficiency gains for the sector as a whole, perhaps resulting
from reforms undertaken towards improving government-owned enterprise
s' performance.