Public Procurement and the Private Business Sector : Evidence from Firm-Level Data
The quality of the public procurement system of an economy can have far-reaching effects on the private sector. This paper empirically explores several of these effects using two rich data sets. An overall indicator of public procurement quality is...
| Main Authors: | , , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2018
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/584061536161746607/Public-Procurement-and-the-Private-Business-Sector-Evidence-from-Firm-Level-Data http://hdl.handle.net/10986/30420 |
| Summary: | The quality of the public procurement
system of an economy can have far-reaching effects on the
private sector. This paper empirically explores several of
these effects using two rich data sets. An overall indicator
of public procurement quality is created from the World
Bank’s Benchmarking Public Procurement project that is then
combined with firm-level data from the World Bank Enterprise
Surveys. The analysis includes more than 59,000 firms
spanning more than 109 economies. The paper finds that firms
in economies with good public procurement systems are more
likely to participate in public procurement, face lower
losses from shipping to domestic markets, and experience
lower incidence of bribery than economies with poor public
procurement systems. Similarly, better public procurement
systems are positively correlated with more engagement in
innovation, research and development, international
certification, foreign technology adoption, and online connectivity. |
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