Publication: Privatizing Infrastructure : Capital Market Pressures and Management Incentives
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Published
1996-10
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Date
2012-08-13
Author(s)
Alexander, Ian
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Abstract
The authors propose a number of privatization rules to ensure that management will improve after privatization. Governments should ensure that the privatized sector has several firms operating in industries that are local natural monopolies, so that if one operator goes bankrupt, another can readily take over. Governments should also permit concentrated ownership and foreign ownership, and profits should not be guaranteed through regulation.
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“Alexander, Ian; Irwin, Timothy. 1996. Privatizing Infrastructure : Capital Market Pressures and Management Incentives. Viewpoint: Public Policy for the Private Sector; Note No. 93. © World Bank. http://hdl.handle.net/10986/11604 License: CC BY 3.0 IGO.”
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