ASi" kUCTURE FlOR DEVELOPMENT

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erino, Ministry of Cooperation, France; Boguslaw tdtedeFrance;BardJackson,NationalRualElec- Leadzki Minister of Thasport and Maritime tric Cooperative Association, USA-.; Tim Kelly, Economy, Poland; Aladar Madrarasz, Counseor, Intenational Telecommunication Union; Kiwhan Budapest; Pekka Metso, Ministry for Foreign Af- KFm, Km & Chang, Republic of Kora; David Kinfirs, Finland; Michael Morfit, US. Agecy for Inter- nersley, Water Aid (U.K); Pierre Laconte, Internanational Development; YuIcio Nishida, Japan Over- tional Union of Public Transport; D. Lorrain, Centre seas Coastal Area Developmenthistitute; Paul Peter, National de Recherches Scientifiques, France; Rolf Swis Development Corporation;- Anna Maria Luders, Universidad Cat6lica de Chile; John R Pinchera, Ministry of Foreign Affairs, Ialy; Masihur Meyer, Havard University; Bnidger Mitchell, RahMnian, Mioistry of Communications, Bangladesh;. RAND Corporation; Rakesh Mohan, United Na- Gedeon Rajaonson, nistry of Public Works, Mada- tions Uniersity, the Netherlands; Nobuichi Nogascar Prathap Ramanuam, Minishy of Policy moto, International Engineering Consultants Asso- Planning and Implementation, Sn Lanka; Jens Erik ciation;,Iqbal NoorAli and Patria Schied, Ali Khan Bendix Rasmussen, Dansh International Develop- Foundation, USAS; Remy Prud'homme, UniverbE ment Association (DANIDA); Jacques Rogozinski, de Paris; Colin Relf, Intemediate Tedhnology De- National Bank of Public Works and Services, Mex- velopment Group and Lnterational Forum for ico;. Joao Salomao, Minister of Corntruction and Rumal Tfrasport and Development, UK,- Annick Sa- Vater, Mozanr&ique; Wongcha-um Sansern, Na- lomon, National Wildlife Federation; Anuinar Siamtional Economiic and Social Development -Board, walk, Thai DevelopmentesRearch Institte;, Byung- Thailand; Eduard V. Sep, Cousor for Trars- Nak Song,Soul National University Tatsu Sunani, portation, Royal Netheands- Ernbassy; Mlkael Electric Power Development Company, Japan; S6derb5ck, Swedish Interntional Development Au- Hideyuki Suzukd, All Japan Prefect and Municithonty (SIDA); Sugijanto Soegijoko, National Devel- pal Workers Union; Hlisao Takahaslu, Japan Airport opment Panning Agency, Indonesia; Juia Suonen- Terminal Company; Kunio Takase, International lahti, Finnish Iternational Development Agency; Development Center of Japaz;, Yasush Tanahaswi, Jon Wlimshurst, UK Ovre Development Ad- Japan Freight Railways Company; Kunimasa Taruministration (ODA); and Tony Zeitun, Canadian muzu, Tolao Maine and Fure Insurance Company; International Development Agency (CIDA). Marie-Aim6e Tourres, SOFRER ; AIe, Wood, Contributors and consultation meetig attendees World Wildlife Association; Gordon Wu, Hopeweil from multilateml agencies indude Fabio Ballerin, Holdings LkL; Shuichiro Yamanouchi, East Japan OECDC; Ananda Covindassamy and Cell Harral, Railway Company and Susumu Yoda, Central Re- European Bank for Reconstruction and Develop- search Institute of Electric Power Industry, Japan. menrt CBRD); Shashi Desai and L Oketokoun, African Development Barik (AfDB); Jules A Frip- Chapter 1 piat, UNDP; Luao Gueratto, European Commis sion; Frederick Jaspersen, Inter-American Develop- This chapter draws on a wide range of both pubment Bank; Ridcard Jolly, Santosh K Mehrotra, and fished and unpublished sources, including World Ashok KI Nigam, UNICEF, Jens Lorentzen, UN Bank project and sector documents, as well as aca- Centre for Human Settlements (UNCHS); StephenJ. demic literatame The value-added data in Table 1-1 McCarthy, European Investment Bank, Steven K were derived from official national accounts as Miller and Tom Strandberg, International Labour maintained by tie World Bank. The discussion of Organition (ILO); Eustace Nonis and Nigel the importance of infrastructure in an economy Rayner, Asian Development Bank (ADB); and J. draws from Bennathan and Johnson 1987, Galenson Bruce Thompson, European Commission. 1989, Japan 1984, and US. Department of Com- Contributors and consuItation meeting attendees merce 1984. from p*zate and public seecor enterprises, universities The section on estimating the productivity of inand nsach insttutes, and nongovemnmttl organiza- fiastructure investnents makes reference to crosstions include Yuzo Akatsuka, Saitama University; national studies, induding Canning and Fay 1993 Kazumi Asako, Yokohama National University; and Easterlv and Rebelo 1993 Box 11 was drafted Iwan Jaya Azis, University of Indonesia; Michael by Marianne Fay. For Box 1.1, the studies showing Beesley, London Business School, William Cos- that causation betwreen infrastructure provision and grove, Ecoconsult, Inc.; Dan Craun-Selka, National economic growth runs in both directions are Duffy- Telephone Cooperative Association, USA.; Henry Deno and Eberts 1991 and Holtz-Eakin 1988. Stud- Ergas, Harvard University; Franqois Georges, Elec- ies that found no noticeable impact of infrastructulre 124
on. grwh once more sophisticated econometric background papers by Eichengreenr Jacobson and metiods were used hidude Holtz-Eakin 1992; those Tarr, and Kirwan. The concept of contestability is that found their positive results not to be very much elaborated in Baumol, Panzar, and Willig 1988, and affect are Bregnan and Marom 1993, Duffy-Deno its relevance to infrastructure is further developed and Eberts 1991, Mera 1973, and Uchimura and Gao in Baumol and Lee 1991. 1993. A review of the literature on infrastructure's The section on the achievements in coverage of impact on costs of production is in Asciauer 1993. irastructure is based on the data presented in the The trucking study is Keeler and Ying 1988 Other appendix and hi the World Banks economic and useful studies on the econonmic impacts of infra- social database. OECD 1993 provides a review of structure include Arim6n and others 1993; Ford infrastructure performance issues in OECD counand Poret 1991; Hulten and Schwab 1991 and 1993; tries. Munnell 1990; and Uribe 1993. The section on operational inefficiency draws The discussion of the effects of rural infrastruc- from Galenson 1989, Gyamif. Gutierrez, and Yepes ture draws from Ahmed and Hossain 1990 and 1992, Howe and Dixon 1993, World Barn 1991'T and Bimswanger, Khandlak, and Rosenweig 1989. The 1993h, the World Bank power sector database, and discussion on the value and composition of infra- Yepes 1990. structure stocks is based on World Bank data and on Guy Le Moigne provided information on irriga- Summers and Heston 1991. The section on returns tion effiaency. John Nebiker provided data for the to World Baik proects draws from Galenson 1993, discussion of procurement issues, and relevant in- Galenson and Thompson forthcoming, Gamn 1987, puts were also provided by Jean-Jacques Raoul and Kaufmnann 1991, and Sangbvi, Vemstrom, and Francesco Samo. Besant-Jones 1989. The Brookings istitutior's re- The section on maintenance draws from Gyamfi, search study is Yresge and Roberts 1971. Table 1.2 Gutierrez, and Yepes 1992, Heggie forthcoming, vvas obtained from the World Banc Operations Eval- Mason and Thriscutt 1991, Postel 1993, World Bank utation Department database. 1988, and the Basu background paper. The reference The discussion of infrastructure's various eco- t0 Cameron was provided by John Schwartz. The nomic impacts is based on Doyen 1993, IMF 1993b, World Bank railway database and power sector Kessides 1993a, Mody and Wang 1994, Mody and. database vere also used. Yilmaz 1994, Peters 1990 and 1992, Rebelo 1992, Details of financial inefficency were obtained Wheeler and Mody 1992, and World Bank 1992a. from Besant-Jones 1990b, Galenson and Thompson Box 12 was drafted by Thawat Watanatada. The forthcoming, Heggie and Quick 1990, World Bank sechon on ifrastructure m Central and Eastern Eu- 1993h, and Gvamnfl, Gutierrez, and Yepes 1992. ropean countries draws from various World Bank On the unresponsiveness to user demand, sector studies, including Bennatian and Thompson sources include Besant-Jones 1993, Singh and others 1992 and Blackshaw and Thompson 1993. 1993, and World Bank Water Demand Researh Box 1.3 was drafted by Marianne Fay using Team 1993. Box 1.5 is based on Bell and others forth- Hicks 1991, Meyers 1986, IMF 1993b, World Bank comin& Humplick, Kudat, and Madanat 1993, 1993a, and data on publi sector deficits from East- Madanat and Humplick 1993, and Sethi forthcomerly, Rodriguez, and Schmidt-Hebbel forthcoming. ing; Kavita Sethi wrote an early draft of the box. Box The discussion of poverty in India draws upon 1.6 derives from Lee and Anas 1992 and from Lee, Lanjouw and Stern 1993 and National Housing Anas, and Verma 1993. Data on telephone fault rates Bank of India 1992. Box 1A is based on Epstein 1962 and waiting time for connection are from the Interand 1973 and Lanjouw and Stern 1993. The discus- national Telecommunication Union 1994. sion of infrasuctures ects on the urban poor The section on service to the poor draws on Bhadraws from Kranton 1991. Caroline 0O N. Moser tia 1992, Cfnara and Banister 1993, and World Bank contributed information on Ecuador from research sector work on BraziL The example of transport dework in progress. The civil works programs men- mand assessment in Tanzania was provided by tioned are discussed in Dreze and Sen 1989. The sec- Steven K Miler. tion on environmental linkages draws from the The section on environmental impacts is based Ruitenbeek background paper, Rabinovitch and on many environmental studies and assessments Leitmann 1993, USAID 1991, and World Bank 1992c, produced inside and outside the World Banlk Addias well as World Bank sector work on Thailand. tional material included Bartone and Bernstein 1992 References to the historical development of infra- and Bartone and others 1994. Box 1.7 was drafted by structure and the private sector's role draw from the Peter Whitford. 125
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3jQi'[~~~~~~~~~~~~~ ~~~~~~~ I -:A -
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... ..... Oxford University Prss :O
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-: .- : 7 - A- - .~ g ------ Vry. _
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. 6 Setting priorities and implemen
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3.1. Contractual anrangements for p
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Because of changes in GNP per capit
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- - Infrastruckure's roleand record
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L ~ ~ ~ ~ ~ ... ~ ~ ~ ~ ~ C- l' __
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Diagnosing the causes of poor perfo
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private sector have evolved. Port f
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tradability of infrastructure servi
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fits. The way ahead is one of 'cont
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Eior - 1 a iX for. - '1~t'*%~ E 6 -
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;~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~W.:-
Page 29 and 30:
BoxL12 The importance of infrastruc
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and reliability, as well as on quan
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Expansion of transport infrastructu
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Roads are not private goods, althou
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Table 1.3 Expansion of infrastructu
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: ~ ~ 2 A :0::~~~~~~~~~~~~~~ 9 0 0
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pie of Latin American water utiltie
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straint to their mobility (Figure 1
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Box 1.7 Infastiucture activities ti
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* Option A: Public ownership and op
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Lessons of success and failure mana
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-~~~~o 22, -Svrac pa eae layoffs tt
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vices. These concerns are particula
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Management conitracting wHEN is Ir
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- :. : : . - I- ~~*r~ 4.~ accounts
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The best way of reducing the gap be
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the high rates of return for mainte
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l:: :: . - : 0~ ,aSn- ::~~~i /W-#H
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egional gas distributors, and an en
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5 : zFigre3C4mnbndbgl atvitie ices
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Helped in part by sectoral unbundli
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;t~~1F D ¢- l- e as is demnonstrat
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short-mn gain and skimp on routine
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Table 3.2 Value of infrastructure p
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Box 3.6 Telecom piivatizati6ci the
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Box 3.8 Regulation and privatizatio
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private management can become compl
Page 83 and 84:
this chapter shows, where regulator
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transport ministries in Africa is o
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Unlodking local effort through- dec
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Box 4.3 Power in Purang and roads i
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Page 93 and 94: way of achieving distributional obj
Page 95 and 96: are bundled into low-cost loans to
Page 97 and 98: powerful minorities can capture the
Page 99 and 100: to this purpose without sacrificing
Page 101 and 102: found that although households were
Page 103 and 104: 4 I~~~Z Box46 W canbenefitftbm ibut
Page 105 and 106: I Box. 4.9 Icroaigenviironmental. c
Page 107 and 108: . ............ --S - Financigneeded
Page 109 and 110: Box 5.1 Is there a free lunch?-limi
Page 111 and 112: Box 52 Tapping international capita
Page 113 and 114: 1~~~~D Clt ,-,.Re -b cope an tie 0
Page 115 and 116: V Box 5A A successfl-firtt step in
Page 117 and 118: change risk through the passing on
Page 119 and 120: Box 5.8 Look before you leap: limit
Page 121 and 122: poor financial discipline, and subs
Page 123 and 124: 'sv,t-za6oapioceeds (billions of VS
Page 125 and 126: -~ f4' * ; ylkj XtLSidolkits.(1. -~
Page 127 and 128: .*,mmr ''', '- ' f - .,__ -, 6.. -.
Page 129 and 130: Box 6.1 Ingedientr. of good peromne
Page 131 and 132: government and e strength of the co
Page 133 and 134: = -ableb 6.Te tspbrhivaof jrnte' sc
Page 135 and 136: elements of natural monopoly and mu
Page 137 and 138: solid waste disposal through metrop
Page 139 and 140: portant that uinstituitional activi
Page 141: V-~~~~~~ : ~~~~ :: . = .-s Bibliogr
Page 145 and 146: structure and explain the importanc
Page 147 and 148: 1993, Drtze and Stern 1987, Goldste
Page 149 and 150: Ailken, J., G. Cromwell and C. Wish
Page 151 and 152: Easterly, William and Sergio ReWo.
Page 153 and 154: Paul, Samuel. 1991a. -Accomitabilit
Page 155 and 156: Shirley; Mary and John Nellia 1991.
Page 157 and 158: *:: Appendix: Infrastr cture data T
Page 159 and 160: Piual aolai Ekd rkrilytarnyftig' nz
Page 161 and 162: *TLqdqmrc Main (rsRaiilwad tracks I
Page 163 and 164: *Teplephmein lines Railnnd tmcts rs
Page 165 and 166: Acress to safe drIPAIng zmfer Acem
Page 167 and 168: Table AS3 IBRD and IDA commitments
Page 169 and 170: * ;;\ * i Contents Key 154 Introduc
Page 171 and 172: mairking Popzdaliou: hrf htt Total
Page 173 and 174: .~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~~~~~I .- In
Page 175 and 176: into the following broad areas: pro
Page 177 and 178: : - .~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Page 179 and 180: Pqm&uem Airs GN'perafii -AY an!A Uj
Page 181 and 182: GDP AgmIrflun"y Alatmqjrmd Senrrk.
Page 183 and 184: Disurihhhiuuefgrmd dmndprSarrf 11 G
Page 185 and 186: Frnltioirruapm Food pnafaai fndia $
Page 187 and 188: E-wapro&d-rrm &-VWrvaimdVf Penwifr
Page 189 and 190: Drnbmdnlnfmafaaummtwdwhirdalf%J 197
Page 191 and 192: 73 Ukraine.. ... 74 Algeria ~~~~~-.
Page 193 and 194:
Gewmt~ ~ Awgsaagsns 1 1970-80 *fl3)
Page 195 and 196:
Aimor GOUANWnk Gniadonmk piomm cama
Page 197 and 198:
D!~~me. MasSe limit ~~mar.w-fftw sf
Page 199 and 200:
Perauagrq JwL node riseiiv swim na
Page 201 and 202:
19M410 1.931-9 Sm 193 199 I93-92 PM
Page 203 and 204:
hfar~uNzr,,~r(udWrnSIAwwunqem-fgmi.
Page 205 and 206:
0hsrpflra Maudhmer& Dinf B21) 1992
Page 207 and 208:
P---rAgetrefurerd.ds&rcpans FiEs. n
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73 Ukruin 339 10.3 33.0 3.2 IDA) 43
Page 211 and 212:
MD3 599 197f 19 197) 199 ami 1992 i
Page 213 and 214:
OECD Net bilatral flows to 1ew4ineo
Page 215 and 216:
~~~~~~~Fcquaa MSraefMIm Par iS&f WV
Page 217 and 218:
TowdrreTaRr -- Inc~~t mz2 ]m im mm
Page 219 and 220:
Dbimnsuzm pulEIMS) RqrsYWwsefpdnr4u
Page 221 and 222:
* ~~~~~~~~~~~~~ToAd njinuc Net FDI
Page 223 and 224:
Wpram agwofamdamrsdddirm S of~~~S.f
Page 225 and 226:
Caiwhssu ~~~An iwqr6atwe A-ragromaB
Page 227 and 228:
Tot 1.iS. 1lj9muksud Awiugnwf-guw*
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Cnd&bin CswkdtmuhArifuve rno fjrIUA
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1970 199 1971 POO0 199 1970 1992 1O
Page 233 and 234:
_ _ __ _ _ _ _ _ _ * A~~~~~~~~ifm a
Page 235 and 236:
Luje'ecam=rurabt @vs A&J a(nionrper
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PPPEJrImE4fGNp Tar Is seon N i Fe I
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M%qainl in. Elm arrarein 1992.. 5 %
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ParTr TdecImUmfaIUkdIS Pawr,! at Wa
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Taunt iFemifirnms Fwstr,srsuahmrd.
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E000 *t Technical notes' The main c
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practical and conceptual difficulti
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ties, and any statistical discrepan
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ily workers, they exdude homeworker
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and bxes not allocable to other cat
Page 255 and 256:
derived from shorter-term stays are
Page 257 and 258:
table, goods and services include w
Page 259 and 260:
aise the isk of infant mortaliyand
Page 261 and 262:
Columns 2 thrugh 7 give the shares
Page 263 and 264:
the ICP Phase IV report, World Comp
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mation explicitly excludes decade-l
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t 1 Classfiction orec"onomuies by i
Page 269 and 270:
Part 2 Clssfcation of economies by
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