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Outsourcing Public Services: Contractibility, Cost, and Quality
Lund University, Lund, Sweden; IFN, Stockholm, Sweden.
Örebro University, Örebro University School of Business. IFN, Stockholm, Sweden; Cesifo, Munich, Germany; IZA, Bonn, Germany.ORCID iD: 0000-0001-8857-6116
IFN, Stockholm, Sweden; Stockholm Business School, Stockholm University, Stockholm, Sweden.
2019 (English)Report (Other academic)
Abstract [en]

We review the literature on public sector outsourcing to explore if the theoretical predictions from the incomplete contracts literature hold up to recent empirical evidence. Guided by theory, we arrange services according to the type and magnitude of their contractibility problems. The empirical studies point at rather favourable outsourcing outcomes, in terms of costs and quality, for services without severe contracting problems. The picture is more mixed for services with tougher contracting problems, with the weight of the evidence in favour of public provision. This difference between services is largely in line with the property-rights framework and theories of incomplete contracts.

Place, publisher, year, edition, pages
Bonn: IZA Institute of Labor Economics , 2019. , p. 38
Series
IZA Discussion Paper Series, ISSN 2365-9793 ; 12401
Keywords [en]
Privatization, property rights, publicly provided goods
National Category
Economics
Identifiers
URN: urn:nbn:se:oru:diva-76503OAI: oai:DiVA.org:oru-76503DiVA, id: diva2:1352293
Note

JEL Classification: D23, H11, L33

Available from: 2019-09-18 Created: 2019-09-18 Last updated: 2019-09-18Bibliographically approved

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CiteExportLink to record
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Citation style
  • apa
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Language
  • de-DE
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  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
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  • asciidoc
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