IDEAS home Printed from
MyIDEAS: Login to save this article or follow this journal

Why do U.S. states adopt public–private partnership enabling legislation?

  • Geddes, R. Richard
  • Wagner, Benjamin L.
Registered author(s):

    Public–private partnerships, or PPPs, have the potential to address a range of urban economic issues. As of late 2012, thirty-two U.S. states and Puerto Rico had enacted legislation enabling the use of PPPs. PPP enabling laws address such issues as the treatment of unsolicited PPP proposals, prior legislative approval of PPP contracts, and the mixing of public and private funds. We utilize 13 key elements of PPP enabling laws to develop an index reflecting the degree to which a state’s law is encouraging or discouraging of private infrastructure investment. We examine why states pass such laws, and why some states pass legislation that is relatively more favorable to private investment. We consider demand side, supply side, and political/institutional drivers of passage. Vehicle registration growth and greater traffic congestion both increase the likelihood of passage, as does political agreement between a state’s executive and legislative branches. Traffic congestion, growth in per-capita income, and the percent of Republicans in the state’s House of Representatives all increase a law’s favorability to private investment. There is little indication that traditional public finance variables, such as federal highway aid, affect the likelihood of passage or the favorability of a state’s PPP enabling law.

    If 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.

    File URL:
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Elsevier in its journal Journal of Urban Economics.

    Volume (Year): 78 (2013)
    Issue (Month): C ()
    Pages: 30-41

    in new window

    Handle: RePEc:eee:juecon:v:78:y:2013:i:c:p:30-41
    Contact details of provider: Web page:

    References listed on IDEAS
    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.:

    as in new window
    1. Germà Bel & Xavier Fageda, 2009. "Factors explaining local privatization: a meta-regression analysis," Public Choice, Springer, vol. 139(1), pages 105-119, April.
    2. William J. Collins, 2003. "The labor market impact of state-level anti-discrimination laws, 1940-1960," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 56(2), pages 244-272, January.
    3. Gilles Duranton & Matthew A. Turner, 2009. "The Fundamental Law of Road Congestion: Evidence from US cities," Working Papers tecipa-370, University of Toronto, Department of Economics.
    4. Richard S. Grossman & Stephen A. Lee, 2008. "May Issue Versus Shall Issue: Explaining The Pattern Of Concealed-Carry Handgun Laws, 1960-2001," Contemporary Economic Policy, Western Economic Association International, vol. 26(2), pages 198-206, 04.
    5. Kiefer, Nicholas M, 1988. "Economic Duration Data and Hazard Functions," Journal of Economic Literature, American Economic Association, vol. 26(2), pages 646-79, June.
    6. Etienne B. Yehoue & Mona Hammami & Jean-François Ruhashyankiko, 2006. "Determinants of Public-Private Partnerships in Infrastructure," IMF Working Papers 06/99, International Monetary Fund.
    7. Geddes, Rick & Vinod, Hrishikesh D, 2002. "CEO Tenure, Board Composition, and Regulation," Journal of Regulatory Economics, Springer, vol. 21(2), pages 217-35, March.
    8. Yarrow, George, 1999. "A theory of privatization, or why bureaucrats are still in business," World Development, Elsevier, vol. 27(1), pages 157-168, January.
    9. Eduardo Engel & Ronald Fischer & Alexander Galetovic, 2006. "Privatizing Highways in the United States," Review of Industrial Organization, Springer, vol. 29(1), pages 27-53, September.
    10. Robert McGuire & Robert Ohsfeldt & T. Cott, 1987. "The determinants of the choice between public and private production of a publicly funded service," Public Choice, Springer, vol. 54(3), pages 211-230, August.
    11. Germ� Bel & Xavier Fageda & Mildred E. Warner, 2010. "Is private production of public services cheaper than public production? A meta-regression analysis of solid waste and water services," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 29(3), pages 553-577.
    12. repec:oup:qjecon:v:114:y:1999:i:4:p:1437-1467 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eee:juecon:v:78:y:2013:i:c:p:30-41. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.