Building and Managing Facilities for Public Services

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Building and Managing Facilities for Public Services

Author Info

Bennett, John (Brunel University)
Elisabetta Iossa

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Abstract

We model public-private partnerships in building and managing facilities for the provision of public services. In particular, we analyze both the desirability of bundling the building and management operations, and the optimal allocation of ownership between the public sector and private firms. When a positive externality exists across stages of production, bundling is always optimal; but unbundling tends to be preferred when the externality is negative. Whether public ownership is preferred to private ownership depends on the extent of the externality, the market value of the facility and the effect of the firms' investments on social benefits.

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Publisher Info
Paper provided by Royal Economic Society in its series Royal Economic Society Annual Conference 2002 with number 22.

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Date of creation: 29 Aug 2002
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Handle: RePEc:ecj:ac2002:22

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Other versions of this item:

Article
- Bennett, John & Iossa, Elisabetta, 2006. "Building and managing facilities for public services," Journal of Public Economics, Elsevier, vol. 90(10-11), pages 2143-2160, November. [Downloadable!] (restricted)
Paper
- John Bennett & Elisabetta Iossa, 2004. "Building and Managing Facilities for Public Services," Public Policy Discussion Papers 02-08, Economics and Finance Section, School of Social Sciences, Brunel University. [Downloadable!]
- John Bennett & Elisabetta Iossa, 2002. "Building and Managing Facilities for Public Services," Economics and Finance Discussion Papers 02-08, Economics and Finance Section, School of Social Sciences, Brunel University. [Downloadable!]
- JOhn Bennett & Elisabetta Iossa, 2005. "Building and Managing Facilities for Public Services," The Centre for Market and Public Organisation 05/137, Department of Economics, University of Bristol, UK. [Downloadable!]

This paper has been announced in the following NEP Reports:

NEP-ALL-2002-07-08 (All new papers)

Cited by:
(explanations, 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.)

Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "The Basic Public Finance of Public-Private Partnerships," Documentos de Trabajo 234, Centro de Economía Aplicada, Universidad de Chile. [Downloadable!]
Other versions:
- Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "The Basic Public Finance of Public-Private Partnerships," NBER Working Papers 13284, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
- Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "The Basic Public Finance of Public-Private Partnerships," Documentos de Trabajo 235, Centro de Economía Aplicada, Universidad de Chile. [Downloadable!]
- Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "Public-private partnerships (PPPs) cannot be justified because they free public funds. When PPPs are justified on efficiency grounds, the contract that optimally balances demand risk, user-fee distort," Cowles Foundation Discussion Papers 1618, Cowles Foundation, Yale University, revised Feb 2008. [Downloadable!]
- Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "The Basic Public Finance of Public-Private Partnerships," Levine's Bibliography 843644000000000313, UCLA Department of Economics. [Downloadable!]
- Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2007. "The Basic Public Finance of Public-Private Partnerships," Working Papers 957, Economic Growth Center, Yale University. [Downloadable!]
Paolo Balduzzi, 2006. "Models of Partnerships," Working Papers 96, University of Milano-Bicocca, Department of Economics, revised May 2006. [Downloadable!]
John Bennett & Elisabetta Iossa, 2007. "Contracting Out Public Service Provision to Not-for-Profit Firms," CEDI Discussion Paper Series 07-08, Centre for Economic Development and Institutions(CEDI), Brunel University. [Downloadable!]
Other versions:
- John Bennett & Elisabetta Iossa, 2005. "Contracting Out Public Service Provision to Not-for-Profit Firms," Economics and Finance Discussion Papers 05-14, Economics and Finance Section, School of Social Sciences, Brunel University. [Downloadable!]
- John Bennett & Elisabetta Iossa, 2004. "Contracting Out Public Service Provision to Non-for-profit Firms," Economics and Finance Discussion Papers 04-12, Economics and Finance Section, School of Social Sciences, Brunel University. [Downloadable!]
- John Bennett & Elisabetta Iossa, 2004. "Contracting Out Public Service Provision to Non-for-profit Firms," Public Policy Discussion Papers 04-12, Economics and Finance Section, School of Social Sciences, Brunel University. [Downloadable!]
- John Bennett & Elisabetta Iossa, 2005. "Contracting Out Public Service Provision to Not-For-Profit Firms," The Centre for Market and Public Organisation 05/124, Department of Economics, University of Bristol, UK. [Downloadable!]
Oliver Hart, 2002. "Incomplete Contracts and Public Ownership: Remarks, and an Application to Public-Private Partnerships," The Centre for Market and Public Organisation 02/061, Department of Economics, University of Bristol, UK. [Downloadable!]
Other versions:
- Oliver Hart, 2003. "Incomplete Contracts and Public Ownership: Remarks, and an Application to Public-Private Partnerships," Economic Journal, Royal Economic Society, vol. 113(486), pages C69-C76, March. [Downloadable!] (restricted)
Alessandro Petretto, 2007. "The impact of productive efficiency and quality of a regulated local public utility on final goods prices," Working Papers Series wp2007_06, Universita' degli Studi di Firenze, Dipartimento di Scienze Economiche. [Downloadable!]
Roy Chowdhury, Prabal & Roy, Jaideep, 2007. "Public-private Partnerships in Micro-finance: Should NGO Involvement be Restricted?," MPRA Paper 4469, University Library of Munich, Germany. [Downloadable!]
Martimort, David & Pouyet, Jérôme, 2006. "'Build It or Not': Normative and Positive Theories of Public-Private Partnerships," CEPR Discussion Papers 5610, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Eric Maskin & Jean Tirole, 2006. "Public-private Partnerships and Government Spending Limits," Economics Working Papers 0075, Institute for Advanced Study, School of Social Science. [Downloadable!]
Other versions:
- MASKIN, Eric & TIROLE, Jean, 2006. "Public-Private Partnerships and Government Spending Limits," IDEI Working Papers 439, Institut d'Économie Industrielle (IDEI), Toulouse. [Downloadable!]
- Maskin, Eric & Tirole, Jean, 2008. "Public-private partnerships and government spending limits," International Journal of Industrial Organization, Elsevier, vol. 26(2), pages 412-420, March. [Downloadable!] (restricted)
Paul Grout, 2002. "Public and Private Sector Discount Rates in Public-Private Partnerships," The Centre for Market and Public Organisation 02/059, Department of Economics, University of Bristol, UK. [Downloadable!]

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