Firms Operating under Electricity Constraints in Developing Countries

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Tác giả: Philippe Alby

Ngôn ngữ: eng

Ký hiệu phân loại: 330.91 Treatment by areas, regions, places in general

Thông tin xuất bản: Oxford University Press on behalf of the World Bank, 2014

Mô tả vật lý:

Bộ sưu tập: Tài liệu truy cập mở

ID: 232039

Many developing countries are unable to provide their industrial sectors with reliable electric power, with the result that many enterprises must contend with an insufficient and unreliable supply of electricity. Because of these constraints, enterprises often opt for self-generation of electricity even though it is widely considered a second-best solution. This paper develops a theoretical model of investment behavior in remedial infrastructure in the presence of physical constraints. It then illustrates the model's predictions using a large cross-country sample of enterprises from the World Bank Enterprise Survey database. Electricity-intensive sectors in high-outage countries are characterized by a significantly lower share of small firms.
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