Partners can create value in a PPP by removing obstacles and points of friction between partners that would ordinarily exist without the PPP. Sources of friction can include bias, miscommunication, or misaligned incentives-we have already discussed several cases in which a well-designed PPP was able to reduce friction or redundancy between sectors, such as in the case of New York City's parks.
And as we will discuss in a few pages, governments around the world-most prominently in South Korea-have used PPPs to effectively and rapidly expand Covid-19 testing, by accelerating approvals and removing barriers for private-sector test developers. Rather than simply taking a laissez-faire approach, however, South Korea worked collaboratively with the private sector to ensure that tests were as accurate as possible, even under accelerated timelines. This approach reflects a mitigation of key obstacles.