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Public-Private Partnerships

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  • Efraim Sadka

Abstract

Public-private partnerships (PPPs) involve the supply by the private sector of infrastructure and services deriving from infrastructure assets which have traditionally been supplied by the public sector. PPPs are spreading all over the world. It may be quite plausible that such arrangements were initially an attempt to evade expenditure controls and hide public budget deficits. But if they are properly designed and transparently reported, PPPs can enhance the efficiency of the provision of services that were formerly supplied solely by the public sector. This paper provides a public economics perspective on PPPs.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 06/77.

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Length: 29
Date of creation: 01 Mar 2006
Date of revision:
Handle: RePEc:imf:imfwpa:06/77

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Keywords: Infrastructure; Government expenditures; Budget deficits; ppp; road; roads; traffic volume; access roads; freeway; toll roads; motor vehicles; bitumen; civil service; overpasses; city center; channel tunnel; traffic congestion; rail service; rail sector; driver licenses; city road; railway company;

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References

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  1. 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.
  2. Grout, Paul A, 1997. "The Economics of the Private Finance Initiative," Oxford Review of Economic Policy, Oxford University Press, vol. 13(4), pages 53-66, Winter.
  3. Alberto Alesina & Roberto Perotti, 1993. "Income Distribution, Political Instability, and Investment," NBER Working Papers 4486, National Bureau of Economic Research, Inc.
  4. Barro, Robert J., 1979. "On the Determination of the Public Debt," Scholarly Articles 3451400, Harvard University Department of Economics.
  5. Romp, Ward & de Haan, Jakob, 2005. "Public capital and economic growth: a critical survey," EIB Papers 2/2005, European Investment Bank, Economics Department.
  6. Vito Tanzi, 2005. "Building Regional Infrastructure in Latin America," IDB Publications 9357, Inter-American Development Bank.
  7. Oakland, William H., 1972. "Congestion, public goods and welfare," Journal of Public Economics, Elsevier, vol. 1(3-4), pages 339-357, November.
  8. Riess, Armin, 2005. "Is the PPP model applicable across sectors?," EIB Papers 6/2005, European Investment Bank, Economics Department.
  9. Peter A. Diamond & J. A. Mirrlees, 1968. "Optimal Taxation and Public Production," Working papers 22, Massachusetts Institute of Technology (MIT), Department of Economics.
  10. Kamps, Christophe, 2005. "Is there a lack of public capital in the European Union?," EIB Papers 3/2005, European Investment Bank, Economics Department.
  11. Bajari, Patrick & Tadelis, Steven, 2001. "Incentives versus Transaction Costs: A Theory of Procurement Contracts," RAND Journal of Economics, The RAND Corporation, vol. 32(3), pages 387-407, Autumn.
  12. Alberto Alesina & Roberto Perotti, 1995. "The Political Economy of Budget Deficits," IMF Staff Papers, Palgrave Macmillan, vol. 42(1), pages 1-31, March.
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Citations

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Cited by:
  1. Harry Anthony Patrinos & Felipe Barrera-Osorio & Juliana Guaqueta, 2009. "The Role and Impact of Public-Private Partnerships in Education," World Bank Publications, The World Bank, number 2612, October.
  2. Daniel Artana & Ramiro Moya, 2008. "Financiamiento de la Infraestructura en la Argentina: lo que dejó la crisis macroeconómica," Working Papers 97, FIEL.
  3. Sfakianakis, Emmanouil & Laar, Mindel van de, 2012. "Assessing contingent liabilities in public‐private partnerships (PPPs)," MERIT Working Papers 030, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).

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