Why India pays highway builders even when roads stay empty
AI Summary
Intuitively, a toll road company should want traffic. More cars, more tolls, more revenue, it seems like the whole point of building the road. But a large share of India's national highways today are built under a model where the private company that constructs the road gets paid on a schedule that has nothing to do with how many vehicles ever use it, and the government, not the developer, absorbs the risk of an empty highway.
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