Firms Operating under Electricity Constraints in Developing Countries

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...

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Bibliographic Details
Main Authors:	Alby, Philippe, Dethier, Jean-Jacques, Straub, Stephane
Format:	Journal Article
Language:	en_US
Published:	Oxford University Press on behalf of the World Bank 2014
Subjects:	borrower competitors electricity employment entrepreneur entrepreneurs firm size firms lender manufacturer negative impact negative impacts pH power supply pp private companies small firm small firms suppliers theory of the firm
Online Access:	http://hdl.handle.net/10986/19088

id	okr-10986-19088
recordtype	oai_dc
spelling	okr-10986-190882021-04-23T14:03:51Z Firms Operating under Electricity Constraints in Developing Countries Alby, Philippe Dethier, Jean-Jacques Straub, Stephane borrower competitors electricity employment entrepreneur entrepreneurs firm size firms lender manufacturer negative impact negative impacts pH power supply pp private companies small firm small firms suppliers theory of the firm 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. 2014-07-30T21:41:02Z 2014-07-30T21:41:02Z 2013-01 Journal Article World Bank Economic Review 1564-698X 10.1093/wber/lhs018 http://hdl.handle.net/10986/19088 en_US CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Oxford University Press on behalf of the World Bank
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	en_US
topic	borrower competitors electricity employment entrepreneur entrepreneurs firm size firms lender manufacturer negative impact negative impacts pH power supply pp private companies small firm small firms suppliers theory of the firm
spellingShingle	borrower competitors electricity employment entrepreneur entrepreneurs firm size firms lender manufacturer negative impact negative impacts pH power supply pp private companies small firm small firms suppliers theory of the firm Alby, Philippe Dethier, Jean-Jacques Straub, Stephane Firms Operating under Electricity Constraints in Developing Countries
description	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.
format	Journal Article
author	Alby, Philippe Dethier, Jean-Jacques Straub, Stephane
author_facet	Alby, Philippe Dethier, Jean-Jacques Straub, Stephane
author_sort	Alby, Philippe
title	Firms Operating under Electricity Constraints in Developing Countries
title_short	Firms Operating under Electricity Constraints in Developing Countries
title_full	Firms Operating under Electricity Constraints in Developing Countries
title_fullStr	Firms Operating under Electricity Constraints in Developing Countries
title_full_unstemmed	Firms Operating under Electricity Constraints in Developing Countries
title_sort	firms operating under electricity constraints in developing countries
publisher	Oxford University Press on behalf of the World Bank
publishDate	2014
url	http://hdl.handle.net/10986/19088
_version_	1764443549223354368

Firms Operating under Electricity Constraints in Developing Countries

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