Infrastructure and public utilities privatization in developing countries / Emmanuelle Auriol, Pierre M. Picard, Research working paper Collection Title:Policy.

Format:

Book

Government document

Author/Creator:

Auriol, Emmanuelle.

Contributor:

World Bank.

Picard, Pierre M.

Series:

Policy research working papers ; 3950.

World Bank e-Library.

Policy research working paper ; 3950

Language:

English

Subjects (All):

Infrastructure (Economics)--Developing countries.

Infrastructure (Economics).

Privatization--Developing countries.

Privatization.

Public utilities--Developing countries.

Public utilities.

Other Title:

Policy research working paper vol. 3950

Place of Publication:

[Washington, D.C. : World Bank, 2006]

System Details:

data file

Summary:

"The paper analyzes governments' tradeoff between fiscal benefits and consumer surplus in privatization reforms of noncompetitive industries in developing countries. Under privatization, the control rights are transferred to private interests so that public subsidies decline. This benefit for tax-payers comes at the cost of price increases for consumers. In developing countries, tight budget constraints imply that privatization may be optimal for low profitability segments. For highly profitable public utilities, the combination of allocative inefficiency and critical budgetary conditions may favor public ownership. Finally, once a market segment gives room for more than one firm, governments prefer to regulate the industry. In the absence of a credible regulatory agency, regulation is achieved through public ownership. "--World Bank web site.

Notes:

Title from PDF file as viewed on 8/28/2006.

Includes bibliographical references.

Publisher Number:

10.1596/1813-9450-3950