Flexible Strategies for Centralized Public Procurement
Review of Economics and Institutions, Vol. 1, No. 2, Fall 2010
32 Pages Posted: 19 Jul 2011
Date Written: August 10, 2010
Abstract
When designing a national public procurement system, the degree of centralization (or, equivalently, the degree of demand aggregation) is one of the most crucial as well as puzzling policy choices.
Centralized procurement has been traditionally considered as an instrument to reduce public spending. In more recent years, though, and particularly after the 2008 global financial turmoil, a growing interest has arisen among both policy makers and researchers in government procurement as a lever to pursue broader policy goals, such as competitive markets structure, sustainable development and innovation.
This paper reviews and discusses several issues related both to the rationales and to the practical implementation of centralized procurement strategies, with a particular focus on the procurement of goods and services.
Keywords: public procurement, competition, centralization, framework agreements
JEL Classification: H57, K12, L50, O38
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
By Frank (youhua) Chen, Saibal Ray, ...
-
The Variety of Procurement Practice: Evidence from Public Procurement
By Laura Carpineti, Gustavo Piga, ...
-
Procurement Mechanism Design in a Two-Echelon Inventory System with Price-Sensitive Demand
-
By Saibal Ray, Yuyue Song, ...
-
Framework Agreements in Procurement: An Auction Model and Design Recommendations
By Yonatan Gur, Lijian Lu, ...
-
Optimal Replenishment and Pricing Decisions Under the Collect-on-Delivery Payment Scheme
By Jie Zhang and Rachel Zhang