On the Development of Public–Private Partnerships in Transitional Economies: An Explanatory Framework
Yongheng Yang is associate professor of public administration in the School of Public Policy and Management at Tsinghua University in Beijing. His research interests include public service delivery, performance measurement, and strategic planning and management. E-mail: email@example.com
Yilin Hou is the Stanley W. Shelton Professor of Public Finance in the Department of Public Administration and Policy, School of Public and International Affairs, University of Georgia. His research interests include fi scal and budgetary institutions, state and local taxation, the intellectual development of public budgeting, and intergovernmental fi scal relations. E-mail: firstname.lastname@example.org
Youqiang Wang is professor of public administration in the School of Public Policy and Management at Tsinghua University in Beijing. His research interests include administrative system reform, public budgeting and fi nance, and strategic planning and management. E-mail: email@example.com
This article develops a generic framework to explain the environment for public–private partnership (PPP) development in transitional economies. The framework stands on a tripod that includes the market, the operating environment, and the government, each containing several factors that support aspects of PPPs. The authors apply the framework to analyze the results of a multicountry survey in an effort to identify key factors that facilitate PPP development in transition countries. The identified factors are market potential, institutional guarantee, government credibility, financial accessibility, government capacity, consolidated management, and corruption control. The framework and identified factors may serve as effective tools to diagnose and monitor PPP development in a broader array of countries. The framework is applied in analyzing data from four transitional economies and several advanced economies. The efficacy of the framework is further justified by its explanatory power of PPPs’ practicality and is largely confirmed by results from a sensitivity test.