Biller, DanAndres, LuisHerrera Dappe, Matias2015-11-052015-11-052015-10https://hdl.handle.net/10986/22855Policy makers are often confronted with a myriad of factors in the investment decision-making process. This issue is particularly acute in infrastructure investment decisions, as these often involve significant financial resources and lock-in technologies. In regions and countries where the infrastructure access gap is large and pubic budgets severely constrained, the importance of considering the different facets of the decision-making process becomes even more relevant. This paper discusses the trade-offs policy makers confront when attempting to prioritize infrastructure investments, in particular with regard to economic growth and welfare, and proposes a methodological framework for prioritizing infrastructure projects and portfolios that holistically equates such trade-offs, among others. The analysis suggests that it is not desirable to have a single methodology, providing a single ranking of infrastructure investments, because of the complexities of infrastructure investments. Rather, a multidisciplinary approach should be taken. Decision makers will also need to account for factors that are often not easily measured. While having techniques that enable logical frameworks in the decision-making process of establishing priorities is highly desirable, they are no substitute for consensus building and political negotiations.en-USCC BY 3.0 IGOSANITATIONGROWTH RATESINFRASTRUCTURE INVESTMENTSTRANSPORTATION SYSTEMINFRASTRUCTURE PROVISIONWATER SERVICESTRANSPORT SECTORPUBLIC UTILITIESINFRASTRUCTURE ASSETSTRANSPORTATION INFRASTRUCTUREECONOMIC GROWTHPOWER PLANTSINFRASTRUCTURE SERVICESFOSSIL FUELSRAIL NETWORKMETROPOLITAN TRANSPORTATIONVALUATIONECONOMIC WELFARELONG TERM INVESTMENTSTRANSPORT INFRASTRUCTUREPUBLIC SECTORVEHICLESINDUSTRYGENERATIONINFRASTRUCTURE REHABILITATIONTRANSPORTATION RESEARCHELASTICITYINFRASTRUCTURE DEVELOPMENTECONOMIC WELFAREAGGLOMERATION EFFECTSINVESTMENT PLANNINGGROWTH MODELECONOMIC DYNAMICSPUBLIC INFRASTRUCTURETRANSPORTATION SYSTEMAIRPORTSINFRASTRUCTURE SECTORWEALTHMARKET ACCESSECONOMIC LOSSMARKET ACCESSTRANSPORT INVESTMENTINFRASTRUCTURE SERVICESRENTSECONOMIC INFRASTRUCTURETRANSPORTATION INFRASTRUCTUREOPEN ACCESSECONOMIC CHARACTERISTICSTRANSPORT SECTORMOTOR VEHICLESVEHICLEECONOMIC DYNAMICSCAPITAL INTENSITYROADCOSTSROAD NETWORKECONOMIC BENEFITSTRANSPORTPUBLIC FUNDSPORT AUTHORITYCONTRACTSMOBILITYPUBLIC SAFETYOPTIONSEXTERNALITIESMETROPOLITAN TRANSPORTATIONMARKETSPOLLUTIONINDICATORSPUBLIC TRANSPORTCLIMATE CHANGELARGE‐SCALE INFRASTRUCTUREROAD NETWORKPORTSRURAL ROADSFUELSPOWER DISTRIBUTIONSUBSIDIESPUBLIC UTILITIESFINANCEPUBLIC INVESTMENTINFRASTRUCTURERAIL NETWORKINFRASTRUCTURE INVESTMENTDEMAND FOR INFRASTRUCTURE INVESTMENTINFRASTRUCTURE DEVELOPMENTPUBLIC SAFETYTRANSMISSION LINESINFRASTRUCTURE POLICYTRANSPORTATIONGROWTH MODELTRANSITCLIMATE CHANGEMETROPOLITAN TRANSPORTATION AUTHORITYINFRASTRUCTURE PROVISIONPUBLIC SECTORINFRASTRUCTURE MANAGEMENTINFRASTRUCTURE INVESTMENT PROJECTSUTILITIESPOWERTRANSPORTATION INVESTMENTINFRASTRUCTURE REHABILITATIONGROWTH RATESRURAL INFRASTRUCTURETRANSPORTATION DECISIONMOTOR VEHICLESPUBLIC TRANSPORTTRANSPORT INFRASTRUCTUREROAD PROJECTSPUBLIC WORKSINFRASTRUCTURE PROJECTSTRANSPORTATION INVESTMENTECONOMICSBRIDGEINFRASTRUCTURE PROJECTSROADSINFRASTRUCTURE INVESTMENTINFRASTRUCTURE INVESTMENTSSPRAWLCAPITAL INTENSITYECONOMIC DEVELOPMENTSLUMSHIGHWAYDEMAND FOR INFRASTRUCTURE INVESTMENTRAILWAYSINFRASTRUCTURE MANAGEMENTECONOMIC CHARACTERISTICSEDUCATIONDISTRIBUTION GRIDSTOCKSINVESTMENTSTATISTICSMETROPOLITAN TRANSPORTATION AUTHORITYECONOMIC DEVELOPMENTRAILRURAL INFRASTRUCTURESANITATION INFRASTRUCTUREPUBLIC INFRASTRUCTURETRANSPORTATION DECISIONINVESTMENTSPRIVATE VEHICLEPORT AUTHORITYINVESTMENT COSTSLONG TERM INVESTMENTSECONOMIC BENEFITSTRANSPORTATION AUTHORITYDIESELSAFETYURBAN SPRAWLECONOMIC GROWTHINFRASTRUCTURE INVESTMENT PROJECTSINFRASTRUCTURESTRANSMISSION LINESAGGLOMERATIONPRICESNEGATIVE EXTERNALITIESAGGLOMERATION EFFECTSBOTTLENECKSPUBLIC FUNDSPOOR HOUSEHOLDSWorking PaperWorld Bank10.1596/1813-9450-7433