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Author:Laffont, J-J.
N'Gbo, A.
Title:Cross-subsidies and network expansion in developing countries
Journal:European Economic Review
2000 : MAY, VOL. 44:4-6, p. 797-805
Index terms:Financing
Taxation
Efficiency
Infrastructures
Developing countries
Subsidies
Models
Language:eng
Abstract:This paper provides a simple model to discuss the financing of network expansion (for telecommunications, electricity, water, etc.) in developing countries. It shows how inefficient or corrupt tax systems affect the development of networks, and restore partially the relevance of cross-subsidies between rich and poor consumers for financing this development.
SCIMA record nr: 210049
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