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A duration model analysis of privatization of municipal water services

Author

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  • Antonio Miralles Asensio

    (Boston University and University of Barcelona)

Abstract

En este trabajo se utiliza un modelo de duración para estudiar los factores determinantes de la privatización del servicio de aguas. Se cuantifica cómo la influencia de estos factores cambia con el paso del tiempo, usando una muestra de municipios catalanes en las seis legislaturas locales acontecidas durante el período 1980-2002. Se presenta la hipótesis del efecto proximidad dinámico, la cual no es refutada por los datos: en una primera fase (primeros años 80), la privatización del servicio es más probable en ámbitos territoriales donde no hay experiencias previas de privatización; en una segunda fase (los 90), sucede lo contrario. La manera que otros factores influyen en la decisión de privatizar también evoluciona durante estas dos décadas, desde la priorización de la reparación de infraestructuras descapitalizadas hasta una mayor preocupación por la eficiencia del servicio. Los problemas presupuestarios al parecer sólo incitan a privatizar en períodos de grave crisis económica. El signo político del gobierno municipal puede influir en la decisión sobre el modo de producción del servicio si no existe consenso sobre cuál es el más eficiente.

Suggested Citation

  • Antonio Miralles Asensio, 2009. "A duration model analysis of privatization of municipal water services," Revista de Economia Aplicada, Universidad de Zaragoza, Departamento de Estructura Economica y Economia Publica, vol. 17(2), pages 47-75, Autumn.
    • Handle: RePEc:rev:reveca:v:17:y:2009:i:2:p:47-75
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    1. Claude Ménard & Stéphane Saussier, 2000. "Contractual Choice and Performance the Case of Water Supply in France," Revue d'Économie Industrielle, Programme National Persée, vol. 92(1), pages 385-404.
    2. Oliver Hart & Andrei Shleifer & Robert W. Vishny, 1997. "The Proper Scope of Government: Theory and an Application to Prisons," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1127-1161.
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    Cited by:

    1. Daniel Albalate & Germà Bel & Francisco González-Gómez & Andrés J. Picazo-Tadeo, 2017. "Weakening political connections by means of regulatory reform: Evidence from contracting out water services in Spain," Journal of Regulatory Economics, Springer, vol. 52(2), pages 211-235, October.
    2. Juri Demuth & Hans W. Friederiszick & Steffen Reinhold, 2022. "Reverse Privatization as a Reaction to the Competitive Environment: Evidence from Solid Waste Collection in Germany," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 60(2), pages 217-261, March.
    3. Germà Bel & Xavier Fageda & Melania Mur, 2011. "Why do municipalities cooperate to provide local public services? An empirical analysis," IREA Working Papers 201118, University of Barcelona, Research Institute of Applied Economics, revised Oct 2011.
    4. García-Valiñas, María de los Ángeles & González-Gómez, Francisco & Picazo-Tadeo, Andrés J., 2013. "Is the price of water for residential use related to provider ownership? Empirical evidence from Spain," Utilities Policy, Elsevier, vol. 24(C), pages 59-69.
    5. Juri Demuth & Hans W. Friederiszick & Steffen Reinhold, 2018. "Reverse privatization as a reaction to the competitive environment: Evidence from solid waste collection in Germany," ESMT Research Working Papers ESMT-18-02_R1, ESMT European School of Management and Technology, revised 05 Oct 2021.
    6. Daniel, Albalate & Germà, Bel & Albert, Gragera, 2019. "Politics, risk, and white elephants in infrastructure PPPs," Utilities Policy, Elsevier, vol. 58(C), pages 158-165.
    7. Ruiz-Villaverde, Alberto & González-Gómez, Francisco & J. Picazo- Tadeo, Andrés, 2015. "The privatisation of urban water services: theory and empirical evidence in the case of Spain," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 31, pages 157-174.
    8. Andrés Picazo-Tadeo & Francisco González-Gómez & Jorge Wanden-Berghe & Alberto Ruiz-Villaverde, 2012. "Do ideological and political motives really matter in the public choice of local services management? Evidence from urban water services in Spain," Public Choice, Springer, vol. 151(1), pages 215-228, April.
    9. Germà Bel & Xavier Fageda, 2009. "Factors explaining local privatization: a meta-regression analysis," Public Choice, Springer, vol. 139(1), pages 105-119, April.
    10. Daniel Albalate & Germà Bel & R. Richard Geddes, 2012. "“The determinants of contractual choice for private involvement in infrastructure projects in the United States”," IREA Working Papers 201220, University of Barcelona, Research Institute of Applied Economics, revised Dec 2012.
    11. Anders Sundell & Victor Lapuente, 2012. "Adam Smith or Machiavelli? Political incentives for contracting out local public services," Public Choice, Springer, vol. 153(3), pages 469-485, December.
    12. Germà Bel & Xavier Fageda & Melania Mur, 2010. "¿Por qué se privatizan servicios en los municipios (pequeños)? Evidencia empírica sobre residuos sólidos y agua," Hacienda Pública Española / Review of Public Economics, IEF, vol. 192(1), pages 33-58, March.
    13. Daniel Albalate & Germà Bel & R. Richard Geddes, 2012. "“Recovery Risk and Labor Costs in Public-Private-Partnerships: Contractual Choice in the U.S. Water industry”," IREA Working Papers 201222, University of Barcelona, Research Institute of Applied Economics, revised Dec 2012.

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    More about this item

    Keywords

    privatización; servicio de aguas; modelos de duración.;
    All these keywords.

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods

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