Public private partnerships, the levels of public investment and the New Member States

Malcom Sawyer ()

Departmental Working Papers from Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano

Abstract: Some of the features of public private partnerships (PPP) are outlined. The arguments that PPPs provide additional investment are critical examined, and the way in which the accounting treatment may influence the use of PPPs are examined. The costs of PPPs are compared with ‘conventional’ public investment and it is argued that PPPs are a relatively expensive way of undertaking public investment. The idea that PPPs effectively transfer risk from government to private companies is assessed. Issues relating to the nature of contracts under PPPs, the transactions costs and the implementation of the contracts, are briefly considered. For the new member states, it is suggested that national accounting rules and perceived constraints on budget deficits may encourage the use of PPPs, even if that use is not warranted in terms of costs of public investment.

Keywords: Public private partnership; private finance initiative; public investment; cost of finance; risk transfer (search for similar items in EconPapers)
JEL-codes: H43 H54 (search for similar items in EconPapers)
Date: 2009-11-04
References: Add references at CitEc
Citations:

Downloads: (external link)
http://wp.demm.unimi.it/files/wp/2009/DEMM-2009_032wp.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 500 Can't connect to aaa.unimi.it:80 (nodename nor servname provided, or not known) (http://wp.demm.unimi.it/files/wp/2009/DEMM-2009_032wp.pdf [302 Found]--> http://aaa.unimi.it)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mil:wpdepa:2009-32

Access Statistics for this paper

More papers in Departmental Working Papers from Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano Via Conservatorio 7, I-20122 Milan - Italy. Contact information at EDIRC.
Bibliographic data for series maintained by DEMM Working Papers ( this e-mail address is bad, please contact ).