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Bolivian capitalization and privatization: Approximation to an evaluation

Barja, Gover and McKenzie, David and Urquiola, Miguel (2004): Bolivian capitalization and privatization: Approximation to an evaluation. Published in: Reality Check: The Distributional Impact of Privatization in Developing Countries. Edited by John Nellis and Nancy Birdsall , Vol. Chapte, No. Book (October 2005): pp. 123-177.

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The wave of privatizations Latin America experienced during the 1990s was integral to stabilization programs and a general reordering of states’ roles in the regional economy. Over the past few years, however, these privatizations have come under increasing fire. Their purported adverse effects range from higher utility prices to aggravating—or even causing—the current regional recession. In short, privatization shares in the criticism directed at the entire liberalization process. Within this context, accurate knowledge of privatization’s real consequences can be of considerable value. While research has been conducted on certain economic effects, less is known about privatization’s broader social consequences. This chapter attempts to fill some of those gaps as they concern Bolivia.

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