Regulation and Private Sector Investment in Infrastructure : Evidence from Latin America

Pargal, Sheoli

World Bank, Washington, DC

关键词: ACCELERATOR;    AUTHORITY;    CAPITAL FLOWS;    CAPITAL MARKETS;    CAPITAL STOCK;   

DOI  :  10.1596/1813-9450-3037
RP-ID  :  WPS3037

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

The author assesses the importance ofthe regulatory framework as a determinant of private sectorinvestment in infrastructure. She uses recently compileddata on private and public sector investment in the water,power, telecommunications, railroads, and roads sectorsbetween 1980 and 1998 in nine countries in Latin America.The author finds that the most significant institutionaldeterminant of private investment volumes is the passage oflegislation liberalizing the investment regime. This isimportant because it indicates that the legal basis forreform is probably more critical in determining the qualityof the investment climate than specific aspects of theinstitutional framework governing private sectorparticipation. In accordance with intuition, theauthor's results indicate that government action toincrease regulatory certainty and minimize the perceivedrisk of expropriation through the establishment ofindependent regulatory bodies is a critical determinant ofthe volume of private investment flows. She also finds thatthe general relationship of private to public investment isone of substitutability.