Infrastructure industries-including telecommunications, electricity, water, and gas-underwent massive structural changes in the 1990s. During that decade, hundreds of privatization transactions valued at billions of dollars were completed in these sectors in developing and transition economies....

Infrastructure industries - including telecommunications, electricity, water, and gas - underwent massive structural changes in the 1990s. During that decade, hundreds of privatization transactions valued at billions of dollars were completed in these sectors in developing and transition...

In most of the world, urban water supply systems are public enterprises, usually part of a local government, and the recent increased interest in privatizing public enterprises has not led to reforms of water systems. Nevertheless, in about 50 cities in the developing world, the water system...

In most of the world, urban water supply systems are public enterprises, usually part of a local government, and the recent increased interest in privatizing public enterprises has not led to reforms of water systems. Nevertheless, in about 50 cities in the developing world, the water system...

This article analyzes the experience with performance contracts between developing country governments and the managers of their state owned enterprises. It identifies how problems of information asymmetry, incentives, and commitment can lead to shirking. It applies this conceptual framework to...