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Privatization of local public services: lessons for New England

  • Yolanda K. Kodrzycki
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    As governments consider ways to provide public services more efficiently, privatization can seem like an attractive option. Yet the subject engenders sharp controversies. In New England, local governments generally have not engaged in as much privatization as those in other parts of the country. ; This article examines the evidence on the relative merits of privatizing public services and attempts to determine whether these costs and benefits actually appear to explain local government behavior throughout the United States. The limited scope of privatization by New England local governments defies explanation, suggesting that communities in the region may wish to reexamine their choices of how to provide services, if they have not done so recently.

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    Article provided by Federal Reserve Bank of Boston in its journal New England Economic Review.

    Volume (Year): (1994)
    Issue (Month): May ()
    Pages: 31-46

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    Handle: RePEc:fip:fedbne:y:1994:i:may:p:31-46
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    1. Alm, James & McKee, Michael J. & Skidmore, Mark, 1993. "Fiscal Pressure, Tax Competition, and the Introduction of State Lotteries," National Tax Journal, National Tax Association, vol. 46(4), pages 463-76, December.
    2. Katharine G. Abraham & Susan K. Taylor, 1993. "Firms' Use of Outside Contractors: Theory and Evidence," NBER Working Papers 4468, National Bureau of Economic Research, Inc.
    3. Robert Tannenwald, 1990. "Taking charge: should New England increase its reliance on user charges?," New England Economic Review, Federal Reserve Bank of Boston, issue Jan, pages 56-74.
    4. Mark Schlesinger & Robert A. Dorwart & Richart T. Pulice, 1986. "Competitive bidding and states' purchase of services: The case of mental health care in Massachusetts," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 5(2), pages 245-263.
    5. Boardman, Anthony E & Vining, Aidan R, 1989. "Ownership and Performance in Competitive Environments: A Comparison of the Performance of Private, Mixed, and State-Owned Enterprises," Journal of Law and Economics, University of Chicago Press, vol. 32(1), pages 1-33, April.
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