Essays on the Participation of the Private Sector in Sanitation in Brazil
Basic sanitation; Privatization; Bibliometrics; Staggered differences-in-differences; Stochastic frontier.
This dissertation comprises four essays that examine the role of the private sector in Brazilian basic sanitation. The first essay presents a theoretical discussion of key economic concepts related to the sector —such as natural monopoly, tariff structures, the role of the State, and international privatization experiences — while also outlining the institutional, regional, and regulatory landscape of sanitation services in Brazil, with particular focus on the New Legal Framework for Sanitation. The second essay conducts a bibliometric review of the international literature on sanitation privatization, using visualization tools to identify thematic trends and propose a research agenda tailored to the Brazilian context. The third essay empirically analyzes the effects of the new legislation on water and sewage tariffs in Brazil by applying a staggered differences-in-differences model with propensity score matching (PSM-DID). Results suggest that privatization did not significantly raise tariffs and was in some cases associated with reductions. The fourth essay employs a stochastic frontier model to estimate the technical efficiency of Brazilian sanitation service providers. By combining theory, systematic literature review, and robust empirical evidence, the thesis contributes to the debate on privatization in the Brazilian sanitation sector.