Towards a more effective provision of business services

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Abstract: "The study is based on desk research on the BDS concept as well as on the available empirical evidence. In addition, we conducted a number of interviews with GTZ project managers and Thai counterparts during the spring of 2003. In coming up with our general assessment of Thailand's institutional performance in business services, we draw on a parallel GDI research project with a much broader empirical base. Chapter 1 summarizes the new BDS paradigm, presenting the four principle arguments that cast doubt on the traditional path taken by state- or donor-led service provision as well as the policy conclusions made by proponents of the BDS market approach. Chapter 2 then identifies four conceptual and practical limitations of this school of thought. Chapters 3-6 go on to elaborate on these four critical arguments. Chapter 3 discusses the distinction between public and private goods, arguing that some business services are, at least in part, public goods, and concluding that there is a