Privatization for the Public Good?: Welfare Effects of Private Intervention in Latin America

Overview

Using unique household data sets for six Latin American countries, the essays collected in this volume put together a compelling picture of the effects of privatization. Prices usually increase significantly in the wake of privatization, which can prove particularly difficult for low-income groups. On the other hand, privatized services often lead to expanded coverage, greatly benefiting even poorer groups. Symbolic issues as well as material outcomes are relevant, as access to public services generates a sense ...

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Overview

Using unique household data sets for six Latin American countries, the essays collected in this volume put together a compelling picture of the effects of privatization. Prices usually increase significantly in the wake of privatization, which can prove particularly difficult for low-income groups. On the other hand, privatized services often lead to expanded coverage, greatly benefiting even poorer groups. Symbolic issues as well as material outcomes are relevant, as access to public services generates a sense of inclusion and provision of basic rights to historically excluded populations.

The expansion of service that has accompanied privatizations in Latin America not only provides the less well-off with the opportunity to use those services, but also offers the possibly more important benefit of a sense of inclusion in society. Increased access to services further allows Latin Americans to enjoy a higher quality of life and provides the opportunity to generate more stable sources of income.

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Editorial Reviews

Choice

A meaningful rejoinder to those who reject privatization on ideological rather than evidentiary grounds.
— J. Prager

Choice - J. Prager
A meaningful rejoinder to those who reject privatization on ideological rather than evidentiary grounds.
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Product Details

Meet the Author

?Alberto Chong is Principal Research Economist, Research Department, Inter-American Development Bank.
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Table of Contents

Foreword Santiago Levy Levy, Santiago

Ch. 1 On the Social Effects of Privatizations in Latin America Alberto Chong Chong, Alberto 1

Ch. 2 Water Expansion in Shantytowns: Health and Savings Sebastian Galiani Galiani, Sebastian Martin Gonzalez-Rozada Gonzalez-Rozada, Martin Ernesto Schargrodsky Schargrodsky, Ernesto 25

Ch. 3 The Impact of Electricity Sector Privatization on Public Health Martin Gonzalez-Eiras Gonzalez-Eiras, Martin Martin A. Rossi Rossi, Martin A. 43

Ch. 4 Water Sector Privatization in Colombia Felipe Barrera-Osorio Barrera-Osorio, Felipe Mauricio Olivera Olivera, Mauricio 65

Ch. 5 Stay Public or Go Private? A Comparative Analysis of Water Services between Quito and Guayaquil Paul Carrillo Carrillo, Paul Orazio Bellettini Bellettini, Orazio Elizabeth Coombs Coombs, Elizabeth 99

Ch. 6 Access to Telephone Services and Household Income in Poor Rural Areas Using a Quasi-Natural Experiment in Peru Alberto Chong Chong, Alberto Virgilio Galdo Galdo, Virgilio Maximo Torero Torero, Maximo 139

Ch. 7 Learning from an Incomplete Electricity Privatization Process in Rural Peru Lorena Alcazar Alcazar, Lorena Eduardo Nakasone Nakasone, Eduardo Maximo Torero Torero, Maximo 163

Bibliography 205

Contributors 229

Index 231

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