Germà Bel () (Grup de Recerca en Polítiques Públiques i Regulació Económiques (GPRE), Institut de Recerca d'Economia Aplicada (IREA), Departament de Política Econòmica i EEM, Universitat de Barcelona) Xavier Fageda () (Grup de Recerca en Polítiques Públiques i Regulació Económiques (GPRE), Institut de Recerca d'Economia Aplicada (IREA), Departament de Política Econòmica i EEM, Universitat de Barcelona)
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Privatization of local public services has been implemented worldwide in the last decades. Why local governments privatize has been the subject of much discussion, and many empirical works have been devoted to analyzing the factors that explain local privatization. Such works have found a great diversity of motivations, and the variation among reported empirical results is large. To investigate this diversity we undertake a meta-regression analysis of the factors explaining the decision to privatize local services. Overall, our results indicate that significant relationships are very dependent upon the characteristics of the studies. Indeed, fiscal stress and political considerations have been found to contribute to local privatization specially in the studies of US cases published in the eighties that consider a broad range of services. Studies that focus on one service capture more accurately the influence of scale economies on privatization. Finally, governments of small towns are more affected by fiscal stress, political considerations and economic efficiency, while ideology seems to play a major role for large cities.
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Paper provided by Xarxa de Referència en Economia Aplicada (XREAP) in its series Working Papers with number
CREAP2006-03.
Length: 24 pages Date of creation: Oct 2006 Date of revision:
Oct 2006 Handle: RePEc:xrp:wpaper:creap2006-03
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Find related papers by JEL classification: L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Boundaries of Public and Private Enterprise; Privatization; Contracting Out R51 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models
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Anna Matas Prats & José Luís Raymond Bara & José Luís Raymond Bara, 2008.
"Job accessibility and employment probability,"
Working Papers
XREAP2008-5, Xarxa de Referència en Economia Aplicada (XREAP), revised May 2008.
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