The Basic Public Finance of Public-Private Partnerships

Acknowledgments: We thank Maham Mela for research assistance, and Raj Chetty, Peter Diamond, Hadi Esfahani, Antonio Estache, John Friedman, Aldo González, James Hines, Mervyn Lewis, Guillermo Perry, Eduardo Saavedra, John Shoven, and participants at various conferences and workshops for insightful comments on an earlier version of this paper. We also thank the Corporación Andina de Fomento (CAF), the World Bank and the Instituto Milenio de Sistemas Complejos en Ingeniería (Chile) for financial support, and the Stanford Center for International Development for its hospitality. The views are our own and do not represent those of any of the above mentioned institutions.

http://onlinelibrary.wiley.com/doi/10.1111/j.1542-4774.2012.01105.x/abstract