Greater Private Sector Participation Research Articles

Growth of Life and Non-life Insurance Market in India

In the midst of high cost of health care both at the macro and micro levels, health insurance becomes a viable alternative for financing health care in India. Health insurance is fast emerging as an important mechanism to finance health care needs of the people. The insurance industry in India has witnessed an impressive growth rate over the last two decades driven by the greater private sector participation and an improvement in distribution capabilities, along with substantial improvements in operational efficiencies. The paper presents the growth of life and non-life health insurance in India

Ownership, quality and prices of nursing homes in Australia: Why greater private sector participation did not improve performance

ObjectiveThis study examines whether greater private-sector participation in aged care can lead to better outcomes by comparing quality of care and prices of residential aged care facilities across three ownership types: government-owned, private not-for-profit and for- profit facilities. Australia, like many other countries, has been implementing market-oriented reforms aiming to promote greater consumer choice and increase the role of markets and private-sector participation in aged care. MethodsUsing retrospective facility-level data, the study relates several measures of quality of care and a measure of price to ownership types while controlling for facility characteristics. The data covered six financial years (2013/14–2018/19) and contained 2,900 residential aged-care facilities, capturing almost all facilities in Australia. About 55% were private not-for-profit, 30% private for-profit and 15% government-owned. ResultsGovernment-owned facilities provide higher quality of care in most quality measures and charge the lowest average price than private for-profit and not-for-profit facilities. DiscussionReforms promoting private-sector participation in aged care are unlikely to result in effective competition to drive quality up or prices down unless sources of market failure are addressed. In Australia, the lack of public reporting of quality and the complex pricing structure are key issues that prevent market forces and consumer choice from working as intended.

Ownership, Quality and Prices of Nursing Homes in Australia: Why Greater Private Sector Participation Did Not Improve Performance

Objective This study examines whether greater private-sector participation in aged care can lead to better outcomes by comparing quality of care and prices of residential aged care facilities across three ownership types: government-owned, private not-for-profit and for profit facilities. Australia, like many other countries, has been implementing market-oriented reforms aiming to promote greater consumer choice and increase the role of markets and private-sector participation in aged care. Methods Using retrospective facility-level data, the study relates several measures of quality of care and a measure of price to ownership types while controlling for facility characteristics. The data covered six financial years (2013/14–2018/19) and contained 2,900 residential aged care facilities, capturing almost all facilities in Australia. About 55% were private not-for-profit, 30% private for-profit and 15% government-owned. Results Government-owned facilities provide higher quality of care in most quality measures and charge the lowest average price than private for-profit and not-for-profit facilities. Discussion Reforms promoting private-sector participation in aged care are unlikely to result in effective competition to drive quality up or prices down unless sources of market failure are addressed. In Australia, the lack of public reporting of quality and the complex pricing structure are key issues that prevent market forces and consumer choice from working as intended.

Creating a Development Bank to Finance Affordable Housing in South Africa is a Timely Catalyst to Address Demand and Supply Challenges

The twin problems of affordability and accessibility that hamper the progress of housing in our country need to be addressed on a sustainable basis and the state needs to take on the role as a facilitator to create the enabling environment to encourage greater private sector participation. As a consequence, it is quite opportune to establish the Human Settlements Development Bank (HSDB). The mortgage finance affordability challenge is also attributable to key essential drivers, namely; house price index, disposable income, and the mortgage interest rates.

Corporate Solutions to Climate Change

Climate change is now impacting every country on every continent. Leading European countries are taking action-and even committing real moneyto fight climate change1 . Without action, the world’s average surface temperature is projected to rise over the 21st century and is likely to surpass 3 degrees Celsius this century-with some areas of the world expected to warm even more. In effort to resolve the issues related to climate change we need greater private sector participation. Incentivizing global investors and consumers to direct investments and consumption towards the corporations that are leading the effort towards climate sustainability may accelerate achieving United Nation’s current sustainable development goal (SDG’s) of Climate Action

The technical efficiency of container ports: Comparing data envelopment analysis and stochastic frontier analysis

The efficiency of the container port industry has been variously studied utilising either Data Envelopment Analysis (DEA) or Stochastic Frontier Analysis (SFA). Given the strengths and weaknesses associated with these two approaches, the efficiency estimates and scale properties derived from these analyses are not always convincing. This paper applies both approaches to the same set of container port data for the world’s largest container ports and compares the results obtained. A high degree of correlation is found between the efficiency estimates derived from all the models applied, suggesting that results are relatively robust to the DEA models applied or the distributional assumptions under SFA. High levels of technical efficiency are associated with scale, greater private-sector participation and with transhipment as opposed to gateway ports. In analysing the implications of the results for management and policy makers, a number of shortcomings of applying a cross-sectional approach to an industry characterised by significant, lumpy and risky investments are identified and the potential benefits of a dynamic analysis, based on panel data, are enumerated.

Potential Output and Total Factor Productivity Growth in Post-Apartheid South Africa

This paper provides estimates of potential output growth in post-apartheid South Africa using both time trend techniques and a production function approach which indicates a potential growth rate of around 3 percent. The implied output gap provides statistically significant information for predicting inflation and could thus provide valuable input for formulating macroeconomic policy. Growth accounting and regression analysis suggest that an increase in trend GDP growth after the end of apartheid in 1994 is attributable to higher TFP growth driven by trade liberalization and greater private sector participation.

Potential Output and total Factor Productivity Growth in Post-Apartheid South Africa

This paper provides estimates of potential output growth in post-apartheid South Africa using both time trend techniques and a production function approach which indicates a potential growth rate of around 3 percent. The implied output gap provides statistically significant information for predicting inflation and could thus provide valuable input for formulating macroeconomic policy. Growth accounting and regression analysis suggest that an increase in trend GDP growth after the end of apartheid in 1994 is attributable to higher TFP growth driven by trade liberalization and greater private sector participation.

Tourist organizations in Sweden

Interorganizational analysis is used to examine recent changes in the institutional framework for tourism in Sweden, a country which has experienced significant restructuring of its official tourist organizations at all levels: national, regional and local. Specific dimensions of change analysed include goals, functions, structures and funding. Continuing debate has occurred in Sweden over the importance of social and economic goals and the roles of organizations at different levels, a trend towards greater private sector participation and funding is noted and increased emphasis is being given to marketing. Political events have brought about many of the changes. Further developments might be anticipated as little equilibrium in the network is apparent.

The Finance and Ownership of Roads

Roads are essential if the transport services a modern economy requires are to be provided effectively. This article is concerned with examining the role which the private sector may play in reducing existing difficulties in funding current road investments and maintenance costs. Additionally it assesses the efficiency gains which can result from greater private sector involvement in road infrastructure provision and compares the respective merits of the alternative ways in which this might be attempted. While the historical precedent of the ‘Turnpike Age’ in the UK is briefly reviewed, the analysis focuses primarily on the possible welfare gains which could be generated by greater private sector participation in what would remain a predominantly public sector activity.