To illustrate the relevance of the various aspects discussed and the policy recommendations previously described, we now provide several examples of PPP arrangements that failed to achieve the desired outcomes. The first example shows the pressure governments face to bailout projects that are especially important from a social perspective. Consequently, they have to support banks when such projects become financially distressed, and, in some cases, can generate significant macroeconomic problems (e.g., excess building in Spain recently and road building in Mexico in the 1990s). The second and the third examples illustrate how vulnerable projects are to renegotiation and default, respectively, when they are excessively leveraged and when debt obligations are supported by unconditional governmental guarantees.33 Especially, in cases where local government accountability or own source revenues are limited, accountability can be limited (Ambrosiano and Bordignon 2006).