Download or read book Macroeconomic Dimensions of Public Private Partnerships written by Mr.Edward F. Buffie and published by International Monetary Fund. This book was released on 2016-03-24 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: The voluminous literature comparing public-private partnerships (P3s) and own-investment (OI) by the public sector is dominated by contributions from microeconomic theory. This paper gives macroeconomics a voice in the debate by investigating the repercussions of P3 vs. OI in a dynamic general equilibrium model featuring private capital accumulation and involuntary unemployment with efficiency wages. Typically P3s cost more but produce higher-quality infrastructure and boast a better on-time completion record than OI; consequently, they are comparatively more effective in reducing underinvestment in private capital, underinvestment in infrastructure, unemployment and poverty. The asymmetric impact on macro externalities raises the social return in the P3 2 - 9 percentage points relative to the social return to OI, depending on whether the externalities operate singly or in combination and on whether P3 enjoys an advantage in speed of construction.

Download or read book Mastering the Risky Business of Public Private Partnerships in Infrastructure written by Manal Fouad and published by International Monetary Fund. This book was released on 2021-05-10 with total page 61 pages. Available in PDF, EPUB and Kindle. Book excerpt: Investment in infrastructure can be a driving force of the economic recovery in the aftermath of the COVID-19 pandemic in the context of shrinking fiscal space. Public-private partnerships (PPP) bring a promise of efficiency when carefully designed and managed, to avoid creating unnecessary fiscal risks. But fiscal illusions prevent an understanding the sources of fiscal risks, which arise in all infrastructure projects, and that in PPPs present specific characteristics that need to be addressed. PPP contracts are also affected by implicit fiscal risks when they are poorly designed, particularly when a government signs a PPP contract for a project with no financial sustainability. This paper reviews the advantages and inconveniences of PPPs, discusses the fiscal illusions affecting them, identifies a diversity of fiscal risks, and presents the essentials of PPP fiscal risk management.

Download or read book The Economics of Public Private Partnerships written by Eduardo Engel and published by Cambridge University Press. This book was released on 2014-09-15 with total page 193 pages. Available in PDF, EPUB and Kindle. Book excerpt: The authors provide a summary of the main lessons learned from the past twenty-five years regarding public-private partnerships.

Download or read book The Emerald Handbook of Public Private Partnerships in Developing and Emerging Economies written by João Leitão and published by Emerald Group Publishing. This book was released on 2017-12-07 with total page 663 pages. Available in PDF, EPUB and Kindle. Book excerpt: This Handbook aims to support policy-makers, national governments, national and regional public administrations, PPP officers, practitioners and academia in the design, implementation and assessment of appropriate responses to foster PPPs' uptake in the context of developing and emerging economies.

Download or read book The Logic of Public Private Partnerships written by Graeme A. Hodge and published by Edward Elgar Publishing. This book was released on 2019 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book examines Public–Private Partnerships (PPP), and tracks the movement from early technical optimism to the reality of PPP as a phenomenon in the political economy. Today's economic turbulence sees many PPP assumptions changed: what contracts can achieve, who bears the real risks, where governments get advice and who invests. As the gap between infrastructure needs and available financing widens, governments and businesses both must seek new ways to make contemporary PPP approaches work.

Download or read book Macroeconomic Dimensions of Public Private Partnerships written by Mr.Edward F. Buffie and published by International Monetary Fund. This book was released on 2016-03-24 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: The voluminous literature comparing public-private partnerships (P3s) and own-investment (OI) by the public sector is dominated by contributions from microeconomic theory. This paper gives macroeconomics a voice in the debate by investigating the repercussions of P3 vs. OI in a dynamic general equilibrium model featuring private capital accumulation and involuntary unemployment with efficiency wages. Typically P3s cost more but produce higher-quality infrastructure and boast a better on-time completion record than OI; consequently, they are comparatively more effective in reducing underinvestment in private capital, underinvestment in infrastructure, unemployment and poverty. The asymmetric impact on macro externalities raises the social return in the P3 2 - 9 percentage points relative to the social return to OI, depending on whether the externalities operate singly or in combination and on whether P3 enjoys an advantage in speed of construction.

Download or read book Determinants of Public Private Partnerships in Infrastructure written by Etienne B. Yehoue and published by INTERNATIONAL MONETARY FUND. This book was released on 2006-04-01 with total page 39 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper presents an empirical analysis of the cross-country and cross-industry determinants of public-private partnership (PPP) arrangements. We find that PPPs tend to be more common in countries where governments suffer from heavy debt burdens and where aggregate demand and market size are large. Our findings also suggest that macroeconomic stability is essential for PPPs. We provide evidence on the importance of institutional quality, where less corruption and effective rule of law are associated with more PPP projects. PPPs are also more prevalent in countries with previous PPP experiences. At the industry level, we find that PPP determinants vary across industries depending on the nature of public infrastructure, capital intensity, and technology required. We also find that private participation in PPP projects depends on the expected marketability, the technology required, and the degree of "impurity" of the goods or services.

Download or read book The Economics of Public Private Partnerships written by Stéphane Saussier and published by Springer. This book was released on 2018-01-03 with total page 241 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book investigates the economic decisions behind the implementation of public-private partnerships (PPPs). The first part of the book discusses different forms of public procurement contracts, in particular in France and the UK, and provides an economic analysis of the potential advantages and pitfalls of public-private partnerships. This exploration of PPPs’ efficiency also includes an examination of the financing conditions of public procurements, as well as regulatory requirements. By reviewing empirical studies on PPPs, the second part of the book compares their advantages over purely public solutions and offers practical guidance on their implementation. Practitioners will also learn best practices on how to involve stakeholders in calls for bids.

Download or read book Deriving Macroeconomic Benefits from Public Private Partnerships in Developing Asia written by Minsoo Lee and published by . This book was released on 2019 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: The provision of infrastructure and related services in developing Asia via public-private partnership (PPP) increased rapidly during the late 1990s. Theoretical arguments support the potential economic benefits of PPPs, but empirical evidence is thin. This paper develops a framework identifying channels through which economic gains can be derived from PPP arrangement. The framework helps derive an empirically tractable specification that examines how PPPs affect the aggregate economy. Empirical results suggest that increasing the ratio of PPP investment to GDP improves access to and quality of infrastructure services, and economic growth will potentially be higher. But this optimism is conditional, especially on the region's efforts to further upgrade its technical and institutional capacity to handle complex PPP contracts.

Download or read book Public Investment and Public Private Partnerships written by G. Schwartz and published by Springer. This book was released on 2008-06-25 with total page 326 pages. Available in PDF, EPUB and Kindle. Book excerpt: There are now increasing concerns about the need to upgrade public infrastructure, improve the delivery of public services, and explore new options for partnering with the private sector. This book looks at ways of strengthening the efficiency of public investment and managing the fiscal risks of public-private partnerships.

Download or read book Public Private Partnerships written by Stephen Osborne and published by Routledge. This book was released on 2000-11-23 with total page 433 pages. Available in PDF, EPUB and Kindle. Book excerpt: Public-Private partnerships are an increasing aspect of the delivery of public policies and services across the world. This book is the first to draw upon a range of disciplines to offer theoretical perspectives upon their analysis as well as a range of case-studies of their management from around the world. It also offers a number of frameworks fo

Download or read book A Macroeconomic Analysis of Investment Under Public private Partnerships and Its Policy Implications the Case of Developing Countries written by Cristina D. Checherita and published by . This book was released on 2009 with total page 342 pages. Available in PDF, EPUB and Kindle. Book excerpt: The objective of the present dissertation is to propose a theoretical model of the decision to invest under a Public-Private Partnership (PPP) contract and to test empirically both the determinants of such investment and its economic impact. The basic theoretical model proposed in the dissertation outlines the conditions for the optimal timing and the scale of monopoly production associated with the decision to invest in a PPP project, in which the two partners fully cooperate. Based on the theory of irreversible investment under uncertainty, it concludes that the optimal decision to invest under a PPP depends negatively on the risk and uncertainty associated with the project, and the real cost of capital, while it could be underpinned when the government tax burden and the associated cost of taxation is high. Two extensions of the theoretical model conclude that PPP arrangements (i) have the potential to diversify risk, when risks facing the private and the public partners are correlated; (ii) may provide the private partner with the possibility to exit the contract at a later stage should economic conditions deteriorate; through contract renegotiation, explicit or implicit government guarantees, or bailing-out expectations, PPP offer a put option that induces the private partner to undertake the investment more readily or in a larger amount even under higher uncertainty. Together with the findings of the basic model, this results in an ambiguous effect of uncertainty on PPP investment. The theoretical predictions of what determines the decision to invest under PPP programs, as well as the potential economic impact of PPP investment, are tested empirically for the case of developing countries, using the World Bank database on private participation in infrastructure for the period 1990-2005. This is the largest database of this kind, which uses a consistent methodology across developing countries and time to record investment commitments in four infrastructure sectors: transportation, energy, water and sewerage, and telecommunication. As regards the determinants of investment under PPP, several predictions of the basic theoretical model are confirmed by the empirical analysis, while the evidence for the others is weaker or difficult to control for empirically. One measure of risk proves to be a robust determinant of PPP investment, that is, the political risk through its component of investment profile risk. Two other measures seem to be significantly associated with the number of PPP infrastructure projects initiated in developing countries over the period 1990-2005, that is, exchange rate uncertainty and uncertainty regarding public investment. Similarly, as indicated by the theoretical model, a higher tax burden is likely to induce governments to engage in larger PPP programs. Another prediction of the theoretical model-that the nominal lending interest rate is likely to have a negative effect on PPP investment-is weakly confirmed by the empirical model in the whole sample, but it turns more robust in the restricted sample of Latin America and Caribbean (LAC) countries where PPP programs are more developed. Finally, the empirical analysis provides evidence as to other significant determinants of PPP investment, that is: (i) the experience with PPP programs; (ii) the size of the economy; (iii) complementarity with private investment; (iv) external aid; (v) time and regional dummies. As regards the impact of PPP investment, at a macroeconomic level, larger PPP programs in infrastructure may induce, on balance, higher fiscal risks for governments in developing countries through the attached explicit or implicit contingent liabilities. However, they may also contribute to improving fiscal positions in the future through higher upfront payments to the government or by substituting part of public investment. In several countries of Latin America, private investment in roads may have been a factor associated with higher economic growth since the mid-80s. The qualitative analysis based on the literature review, as well as the results of the theoretical and empirical models, indicate that, while the experience with PPP in developing countries has been mixed, there is overall more evidence in favor of undertaking PPP investment.

Download or read book Public Private Partnerships written by Albert N. Link and published by Springer Science & Business Media. This book was released on 2006-01-04 with total page 157 pages. Available in PDF, EPUB and Kindle. Book excerpt: Research and development (R and D) leads to innovation, and innovation leads to technological change. Technological change, in turn, is the primary driver of economic growth. Public/private partnerships -- cooperative relationships among industry, government, and/or universities -- leverage the efficiency of R and D and are thus a critical aspect of a nation’s innovation system. This text is intended for upper-level undergraduate and MBA courses such as Economics and Technology, Economics of Innovation, and Economics of Science and Technology, among others. The first chapter introduces the concept of public/private research partnerships along with other concepts fundamental to an understanding of innovation and technology policy. The framework chapters (2-5) set forth an argument for the public’s role – government’s role – in innovation in general and in public/private partnership in particular. The remaining chapters (6-14) describe a number of public/private partnerships and, to the extent possible, evaluate their social impact.

Download or read book Realizing the Potential of Public Private Partnerships to Advance Asia s Infrastructure Development written by Akash Deep and published by Asian Development Bank. This book was released on 2019-01-01 with total page 341 pages. Available in PDF, EPUB and Kindle. Book excerpt: This publication highlights how public–private partnerships (PPPs) can be effective to meet Asia's growing infrastructure needs. It shows how governments and their development partners can use PPPs to promote more inclusive and sustainable growth. The study finds that successful PPP projects are predicated on well-designed contracts, a stable economy, good governance and sound regulations, and a high level of institutional capacity to handle PPPs. It is the result of a collaboration between the Asian Development Bank, the Korea Development Institute, and other experts that supported the theme chapter "Sustaining Development through Public–Private Partnership" of the Asian Development Outlook 2017 Update.

Download or read book Enforcing Public Private Partnership Contract How do Fiscal Institutions Matter written by Manabu Nose and published by International Monetary Fund. This book was released on 2017-11-15 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: Public-private partnerships (PPPs) have increased rapidly in emerging and developing countries, creating both opportunities and fiscal challenges. One of the main challenges is that while governments have increased commitments in guarantees and direct subsidies to promote PPPs, contractual disputes remain high with significant costs. This paper examines how fiscal institutions affect the selection of PPP contracts and the probability of contract disputes using about 6,000 PPP contract-level data. The analysis shows that larger government financing needs, lower budget transparency and bureaucratic efficiency are associated with higher probability for governments to offer guarantees. Propensity score matching results show that disputes are more common for guaranteed contracts due to adverse selection and contingent liability effects. PPP management quality and budget transparency are found to be key determinants for a longer survival of PPPs.

Download or read book Public Private Partnerships for Infrastructure and Business Development written by Stefano Caselli and published by Palgrave Macmillan. This book was released on 2014-01-14 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Public-Private Partnerships for Infrastructure and Business Funding is ideal for scholars and practitioners who work in the field of public policy design and implementation, finance and banking, and economic development.

Download or read book The Economics of Public Private Partnerships written by and published by . This book was released on 2004 with total page 544 pages. Available in PDF, EPUB and Kindle. Book excerpt: