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The Governance of Infrastructure$
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Kai Wegrich, Genia Kostka, and Gerhard Hammerschmid

Print publication date: 2017

Print ISBN-13: 9780198787310

Published to Oxford Scholarship Online: April 2017

DOI: 10.1093/acprof:oso/9780198787310.001.0001

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Improving Public Procurement

Improving Public Procurement

(p.146) 8 Improving Public Procurement
The Governance of Infrastructure

Matthias Haber

Oxford University Press

Public procurement accounts for a significant portion of countries’ GDP and offers large potential for savings in times of austerity. To improve the effectiveness of their infrastructure investments many countries have taken various steps to modernise public procurement processes. However, due to the huge range of available options, governments are increasingly faced with the challenge to reconcile multiple objectives and to select the ones with the largest potential for benefits. This chapter explores how successfully countries have managed to introduce innovative strategies and tools to modernize their public procurement processes. Using Item Response Theory for estimating countries’ policy capacity and the difficulty of its implementation, a set of indicators explores five key areas that are recommended to boost the efficiency of public infrastructure procurement. The analysis demonstrates that countries vary in their capacities to modernize procurement processes and only a few governments manage to perform well across the five areas.

Keywords:   public procurement, infrastructure, investments, innovative strategies, Item Response Theory, indicators

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