Measuring Jobs-Linked Externalities in Private Investment Projects : A Fragility, Conflict, and Violence Perspective
This paper presents the rationale, the methodology and the results of the application of an innovative social rate of return (SRR) methodology in the context of an investment project (Gaza Solar Power project) financed through the Finance for Jobs...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2020
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/104901591342572602/Measuring-Jobs-linked-Externalities-in-Private-Investment-Projects-A-Fragility-Conflict-and-Violence-Perspective http://hdl.handle.net/10986/33855 |
| Summary: | This paper presents the rationale, the
methodology and the results of the application of an
innovative social rate of return (SRR) methodology in the
context of an investment project (Gaza Solar Power project)
financed through the Finance for Jobs (F4J) Series of
Projects (SOP) in West Bank and Gaza. A key assumption
behind this work is that creating jobs through private
sector investment generates benefits above the market
returns to the factors of production (capital, labor, and
land). Moreover, in instances where the market returns would
not be sufficient for the investment to take place because
of elevated risks and market failures, these benefits
constitute additional social returns that can justify and
merit public financing support to enable fundamentally sound
commercial investment to proceed and the benefits to be
generated. The paper presents the methodology applied
through the use of discrete choice experiment (DCE) in a
cost-benefit analysis to better approximate a measurable
social value to the benefits (jobs-linked externalities)
generated by the investment project in Gaza. |
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