Privatization in Latin America
AbstractIn Latin America, privatization started earlier and spread farther and more rapidly than in almost any other part of the world. More, and larger, firms were sold, and more proceeds were raised. Despite positive microeconomic results, privatization is highly and increasingly unpopular in the region. The core social criticism is that privatization contributes to growing poverty and inequality levels in Latin America—and circumstantial evidence supports the claim. But recent and rigorous studies dilute or counter the negative views, concluding that privatization has contributed only slightly to rising unemployment and in equality, and either reduces poverty or has no effect on it. Still, while privatization may be winning the economic battle it is losing the political war: The benefits are spread widely, small for each affected consumer or taxpayer, and occur (or accrue) in the medium-term. In contrast, the costs are large for those concerned, who tend to be visible, vocal, urban and organized, a potent political combination.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Center for Global Development in its series Working Papers with number 31.
Length: 32 pages
Date of creation: Aug 2003
Date of revision:
Contact details of provider:
Web page: http://www.cgdev.org
Latin America; privatization; poverty; inequality;
Find related papers by JEL classification:
- O54 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- I32 - Health, Education, and Welfare - - Welfare and Poverty - - - Measurement and Analysis of Poverty
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Paredes M., Ricardo, 2001. "Redistributive Impact of Privatization and the Regulation of Utilities in Chile," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Sebastian Galiani & Paul Gertler & Ernesto Schargrodsky, 2002.
"Water for Life: The Impact of the Privatization of Water Services on Child Mortality,"
54, Universidad de San Andres, Departamento de Economia, revised Sep 2005.
- Sebastian Galiani & Paul Gertler & Ernesto Schargrodsky, 2005. "Water for Life: The Impact of the Privatization of Water Services on Child Mortality," Journal of Political Economy, University of Chicago Press, vol. 113(1), pages 83-120, February.
- Rafael La Porta & Florencio López-De-Silanes, 1999.
"The Benefits Of Privatization: Evidence From Mexico,"
The Quarterly Journal of Economics,
MIT Press, vol. 114(4), pages 1193-1242, November.
- Rafael La Porta & Florencio Lopez-de-Silane, 1997. "The Benefits of Privatization: Evidence from Mexico," NBER Working Papers 6215, National Bureau of Economic Research, Inc.
- Rafael La Porta & Florencio López-de-Silanes, 1997. "The Benefits of Privatization : Evidence from Mexico," World Bank Other Operational Studies 11583, The World Bank.
- Barja, Gover & Urquiola, Miguel, 2001.
"Capitalization, regulation and the poor: access to basic services in Bolivia,"
23920, University Library of Munich, Germany, revised Jul 2001.
- Barja, Gover & Urquiola, Miguel, 2001. "Capitalization, Regulation and the Poor: Access to Basic Services in Bolivia," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Guasch, J. Luis & Laffont, Jean-Jacques & Straub, Stephane, 2003.
"Renegotiation of concession contracts in Latin America,"
Policy Research Working Paper Series
3011, The World Bank.
- J. Luis Guasch & Jean-Jacques Laffont & Stephane Straub, 2004. "Renegotiation of Concession Contracts in Latin America," ESE Discussion Papers 103, Edinburgh School of Economics, University of Edinburgh.
- Chong, Alberto & Lopez-de-Silanes, Florencio, 2002.
"Privatization and labor force restructuring around the world,"
Policy Research Working Paper Series
2884, The World Bank.
- Alberto Chong & Florencio Lopez-de-Silanes, 2014. "Privatization and Labor Force Restructuring Around the World," Annals of Economics and Finance, Society for AEF, vol. 15(2), pages 535-591, November.
- Alberto Chong & Florencio Lopez-de-Silanes, 2003. "Privatization and Labor Force Restructuring Around the World," Research Department Publications 4329, Inter-American Development Bank, Research Department.
- Eduardo Lora & Ugo Panizza, 2002.
"Structural Reforms in Latin America under Scrutiny,"
Research Department Publications
4303, Inter-American Development Bank, Research Department.
- Eduardo Lora & Ugo Panizza, 2002. "Structural Reforms in Latin America under Scrutiny," Research Department Publications 4301, Inter-American Development Bank, Research Department.
- Torero, Maximo & Pasco-Font, Alberto, 2001. "The Social Impact of Privatization and the Regulation of Utilities in Peru," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Antonio Estache & V. Foster & Q. Wodon, 2002. "Accounting for Poverty in Infrastructure Reform: Learning from Latin America's Experience," ULB Institutional Repository 2013/44108, ULB -- Universite Libre de Bruxelles.
RePEc Biblio mentionsAs found on the RePEc Biblio, the curated bibliography for Economics:CitEc Project, subscribe to its RSS feed for this item.
- John Nellis, 2006. "Privatization: A Summary Assessment," Working Papers 87, Center for Global Development.
- Checchi, Daniele & Florio, Massimo & Carrera, Jorge, 2005.
"Privatization Discontent and Its Determinants: Evidence from Latin America,"
IZA Discussion Papers
1587, Institute for the Study of Labor (IZA).
- Daniele CHECCHI & Massimo FLORIO & Jorge CARRERA, 2004. "Privatization discontent and its determinants: evidence from Latin America," Departmental Working Papers 2004-23, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
- Sirtaine, Sophie & Pinglo, Maria Elena & Guasch, J. Luis & Foster, Vivien, 2005. "How profitable are private infrastructure concessions in Latin America?: Empirical evidence and regulatory implications," The Quarterly Review of Economics and Finance, Elsevier, vol. 45(2-3), pages 380-402, May.
- Kikeri, Sunita & Kolo, Aishetu, 2005. "Privatization : trends and recent developments," Policy Research Working Paper Series 3765, The World Bank.
- Luis A. Andrés & J. Luis Guasch & Thomas Haven & Vivien Foster, 2008. "The Impact of Private Sector Participation in Infrastructure : Lights, Shadows, and the Road Ahead," World Bank Publications, The World Bank, number 6545.
- Operations Evaluation Department, 2005. "2004 Annual Review of Development Effectiveness : The World Bank's Contributions to Poverty Reduction," World Bank Publications, The World Bank, number 7433.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (David Roodman).
If references are entirely missing, you can add them using this form.