scholarly journals Social Capital Participation in Public-Private Partnership Projects in China: Do Government Credit Risks Matter?

2021 ◽  
Author(s):  
Chen Wu ◽  
Wei Li ◽  
Jie Li
Keyword(s):  
Social Capital ◽  
Dynamic Game ◽  
Public Private Partnership ◽  
Role Of Government ◽  
Private Partnership ◽  
Credit Risks ◽  
Sustainable Operation ◽  
Strategic Goals ◽  
Government Credit ◽  
The Government

In China the Public-Private Partnership (PPP) projects are adopted to achieve the strategic goals of governments and to ensure the sustainable operation of local government finances. However, rigorous empirical research on the determinants of social capital’s participation in PPP is sparse. This study investigates the effects of government behaviors on the participation of social capital in the PPP projects by focusing on the role of government credit risks. We construct a dynamic game and adopt an empirical analysis using panel data of Chinese provinces from 2013 to 2018. Our findings reveal a significant inverse relationship between the government credit risk and the social capital participation in PPP. It provides policy-makers and researchers with useful information about using the PPP to promote investment on infrastructures while ensuring a sustainable local fiscal system.

scholarly journals Social Capital Participation in Public-Private Partnership Projects in China: Do Government Credit Risks Matter?

2021 ◽  
Author(s):  
Chen Wu ◽  
Wei Li ◽  
Jie Li
Keyword(s):  
Social Capital ◽  
Dynamic Game ◽  
Public Private Partnership ◽  
Role Of Government ◽  
Private Partnership ◽  
Credit Risks ◽  
Sustainable Operation ◽  
Strategic Goals ◽  
Government Credit ◽  
The Government

In China the Public-Private Partnership (PPP) projects are adopted to achieve the strategic goals of governments and to ensure the sustainable operation of local government finances. However, rigorous empirical research on the determinants of social capital’s participation in PPP is sparse. This study investigates the effects of government behaviors on the participation of social capital in the PPP projects by focusing on the role of government credit risks. We construct a dynamic game and adopt an empirical analysis using panel data of Chinese provinces from 2013 to 2018. Our findings reveal a significant inverse relationship between the government credit risk and the social capital participation in PPP. It provides policy-makers and researchers with useful information about using the PPP to promote investment on infrastructures while ensuring a sustainable local fiscal system.

scholarly journals System Dynamics Analysis of Evolutionary Game Strategies between the Government and Investors Based on New Energy Power Construction Public-Private-Partnership (PPP) Project

2018 ◽  
Vol 10 (7) ◽  
pp. 2533 ◽  
Author(s):  
Lei Gao ◽  
Zhen-Yu Zhao
Keyword(s):  
Social Capital ◽  
System Dynamics ◽  
Evolutionary Game ◽  
Public Private Partnership ◽  
Behavioral Strategies ◽  
Private Partnership ◽  
System Evolution ◽  
Power Construction ◽  
New Energy ◽  
The Government

The public-private-partnership (PPP) is a new mode for the government and social capital to jointly invest in public infrastructure projects. In particular, PPP projects for new energy power construction have been strongly supported in some countries in recent years, because it can not only reduce financial pressure on the government, but also promote the development of new energy. Current scholars study the economic benefits of PPP projects for new energy power construction from a macro perspective, and they rarely study behavioral strategies of the government and social capital as a game process of project construction from a micro perspective. This paper will fill this gap. This study firstly built an evolutionary game model of the government and investors based on new energy power construction PPP projects. Secondly, taking China’s typical new energy power construction PPP project–waste incineration power generation as an example, the system dynamics (SD) model was proposed to simulate the evolutionary process of game players’ behavioral strategies. Finally, the effects of key factors in the construction of PPP project on the strategies’ stability were studied. The results show that: (1) there is no evolutionarily stable strategy (ESS) in the game system between the government and investors, and system evolution is characterized by periodic behavior. (2) When the government implements dynamic bounty measures, the system evolution process is still a closed loop with periodic motion. However, when the government implements dynamic punishment measures, there is a stable ESS in the hybrid strategy of the game system. (3) The government can increase unit fines when making dynamic strategic adjustments, which will not only promote the active cooperation of investors, but also reduce the probability of government supervision, thereby reducing costs.

scholarly journals DEFINITION AND ESSENCE ANALYSIS OF PUBLIC-PRIVATE PARTNERSHIP (PPP) MODEL

2020 ◽  
Vol 7 (9) ◽  
pp. 43-47
Keyword(s):  
Social Capital ◽  
Financial Burden ◽  
Public Private Partnership ◽  
Risk Allocation ◽  
Private Partnership ◽  
New Normal ◽  
Government Functions ◽  
Important Means ◽  
The Government ◽  
Definition Of

PPP model has become an important means to reduce the financial burden in the new normal, and PPP model in China has a certain difference with the PPP model overseas. Based on the analysis of the characteristics of PPP model, the definition of PPP model according with realistic of China is proposed; the advantages of PPP model are analyzed from helping the transformation of government functions, promoting investment diversification, and reasonable risk allocation etc.; through analysis of partnership concept, the essence of PPP model is put forward, which is the complementary advantages of the government and social capital.

scholarly journals Public Private Partnership (PPP) in Malaysia

2018 ◽  
Vol 2 (4) ◽  
pp. 9-13
Author(s):  
Mahirah Rafie
Keyword(s):  
Future Study ◽  
Public Private Partnership ◽  
New Method ◽  
Private Partnership ◽  
Implementation Project ◽  
Potential Benefits ◽  
The Government

Public Private Partnership (PPP) is not a new method of development in a country. In Malaysia, concept of PPP had been used almost four decades after Malaysian Incorporated Policy had been introduced by the government. The objectives of this present study is to scrutinize defining the concept of PPP, the evolution of implementation PPP, and also characteristic and criteria of PPP based on Public Private Partnership Guidelines. This paper also examines the potential benefits of PPP implementation in Malaysia based on the previous study. Last but not least, issues and recommendation for future study has been suggested to enhance PPP implementation project.

Explaining Public-Private Partnership Projects through Political Factors: An Assessment of Developing Countries

2021 ◽  
pp. 003232172110403
Author(s):  
Noemí Peña-Miguel ◽  
Beatriz Cuadrado-Ballesteros
Keyword(s):  
Developing Countries ◽  
Political Ideology ◽  
Political Competition ◽  
Public Private Partnership ◽  
Public Private Partnerships ◽  
Left Wing ◽  
Political Factors ◽  
Middle Income ◽  
Private Partnership ◽  
The Government

This article analyses the effect of political factors on the use of Public Private Partnerships in developing countries. According to a sample of 80 low- and middle-income countries over the period 1995–2017, our findings suggest that Public Private Partnership projects are affected by political ideology, the strength of the government and electoral cycles. Concretely, they tend to be used by left-wing governments to a greater extent than governments with other ideologies. Public Private Partnerships also tend to be more frequently used by fragmented governments and when there is greater political competition. There is also some evidence (although slight) on the relevance of the proximity of elections in explaining Public Private Partnerships in developing countries.

Liberties and Litigation

2006 ◽  
Author(s):  
James E. Shaw
Keyword(s):  
Early Modern ◽  
Functional Role ◽  
Regulatory System ◽  
Public Private Partnership ◽  
Point Of View ◽  
Public Officials ◽  
Private Partnership ◽  
Market Rules ◽  
The Government

The guilds were essential allies in the operation of the regulatory system, which can be considered an early-modern example of a public/private partnership. Not only were the guilds the chief ‘customers’ of the court, providing much of the funding for public officials, they also had the authority to enforce market rules in their own sector. The price paid for their cooperation was the confirmation of their privileges and the division of the economy into separate sectors. This chapter emphasizes the functional role of guild litigation as opposed to the rhetoric that has surrounded it. From the point of view of a ‘command economy’, guild litigation served no useful purpose. The government considered it to be a waste of money, ‘petty disputes’ of no real significance.

scholarly journals Sustainable and Optimal “Uniqueness” Contract in Public-Private Partnership Projects of Transportation Infrastructure

2020 ◽  
Vol 2020 ◽  
pp. 1-14
Author(s):  
Yingjun Zhu ◽  
Zhitong Gao ◽  
Ruihai Li
Keyword(s):  
Social Welfare ◽  
Public Private Partnership ◽  
Transportation Infrastructure ◽  
Private Capital ◽  
Equilibrium Relation ◽  
Private Partnership ◽  
The Public ◽  
Welfare Losses ◽  
The Government ◽  
The Impact

To control the “uniqueness” risk in Public-Private Partnership (PPP) projects of transportation infrastructure, we design a simplified “uniqueness” contract model by incorporating the impact of the initial investment which is based on the Bertrand model. The nonlinear programming method is adopted to derive the optimal “uniqueness” contracts for incumbent private capital, the public, and the social welfare, respectively. The simulation results show that the achievement of the optimal “uniqueness” contract is essentially the result of a compromise between the private capital, the public, and social welfare. The extent to which such a contract reduces the probability of “uniqueness” risk mainly depends on the equilibrium relation between the interests of private capital and the public. The initial investment is not related to the government default when the contract does not take into account the interests of the private capital. Furthermore, the “uniqueness” contracts between private capital and the government are mainly for anticompetitive purpose in the PPP market of transportation infrastructure. Unless the contract terms focus on the improvement of social welfare, entering a “uniqueness” contract will cause social welfare losses.

scholarly journals Factors determining the success of public private partnership projects in Nigeria

2016 ◽  
Vol 16 (2) ◽  
pp. 42-55 ◽  
Author(s):  
Afeez Olalekan Sanni
Keyword(s):  
Policy Development ◽  
Success Factors ◽  
Good Governance ◽  
Implementation Process ◽  
Public Private Partnership ◽  
Political Support ◽  
Risk Allocation ◽  
Public And Private ◽  
Private Partnership ◽  
The Government

The implementation of public private partnership (PPP) procurement method is expected to help governments in the development of infrastructures and provides an opportunity for the reduction in the governments’ debt profiles. This method has been adopted in Nigeria for more than a decade and with these years of implementation, few infrastructural projects have been developed using this method while some have been unsuccessful. This study aims to examine the PPP projects implementation in Nigeria and identify the most critical factors that could determine the success of such projects. A total of 184 questionnaires were received from public and private sectors’ participants in the implementation of PPP projects. An exploratory factor analysis identified seven critical success factors as projects feedback, leadership focus, risk allocation and economic policy, good governance and political support, short construction period, favourable socio-economic factors, and delivering publicly needed service. This study shows that more developmental projects could be delivered through PPP if the government could focus on these main factors in the implementation process. The result will influence policy development towards PPP and guide the partners in the development of PPP projects. 

Non-Profit Privatization of the Management of Nigerian Public Schools: A Legal and Policy Analysis

2009 ◽  
Vol 53 (2) ◽  
pp. 249-275
Author(s):  
Akingbolahan Adeniran
Keyword(s):  
Public Schools ◽  
Secondary Education ◽  
Education Policy ◽  
Policy Analysis ◽  
Public Private Partnership ◽  
Academic Standards ◽  
Best Interests ◽  
Private Partnership ◽  
Non Profit ◽  
The Government

AbstractThe objective of this article is to analyse critically a government proposal to privatize the management of federally-run secondary schools in Nigeria. Although they have performed relatively well over the years, recent problems have led to a decline in academic standards in these schools. The article examines the potential merits and demerits of the proposed public-private partnership with a view to assessing whether the partnership can add value to the current public model. Although the analysis falls short of endorsing the proposed reform, the article recommends its phased implementation subject to the application of specific legal and practical considerations. It argues that there are enforceable limits to changes in secondary education policy and that the government has an obligation progressively to implement free and compulsory secondary education. It also highlights a number of practical matters meant to ensure that the best interests of any affected children will be taken into account.

Sign in / Sign up

Export Citation Format

Share Document