A New Approach to Private Roads
5 Pages Posted: 14 Jan 2003
Abstract
Roadway privatization offers many benefits, from decreasing transportation's dependence on public coffers to using market forces to decrease the number of "white elephant" roadway projects. But, in the United States, only two private road projects have been undertaken during the last century, in part because potential investors and the government worry about the financial risks of such projects. We believe those risks can be overcome through government awarding of "Present-Value-of-Revenue" franchises to private roadway companies, which would protect those companies' investment but would also protect taxpayers.
Keywords: toll road, private road, Demsetz auction, present value of revenue franchise, PVR
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
Public-Private Partnerships and Prices: Evidence from Water Distribution in France
By Eshien Chong, Freddy Huet, ...
-
Competitive Bidding for a Long-Term Electricity Distribution Contract
-
Auctions, Ex Post Competition and Prices: The Efficiency of Public-Private Partnerships
By Eshien Chong, Freddy Huet, ...
-
Auctions, Ex Post Competition and Prices: The Efficiency of Public-Private Partnerships
By Eshien Chong, Freddy Huet, ...
-
By Laure Athias and Stéphane Saussier
-
Contracting Out Public Service Provision to Not-for-Profit Firms
By John Bennett and Elisabetta Iossa
-
Concession Length and Investment Timing Flexibility
By Michele Moretto, Chiara D'alpaos, ...
-
By Anne Stafford, Basilio Acerete, ...