D 2014

The Efficiency of Contracting out Local Public Services

MIKUŠOVÁ MERIČKOVÁ, Beáta and Juraj NEMEC

Basic information

Original name

The Efficiency of Contracting out Local Public Services

Authors

MIKUŠOVÁ MERIČKOVÁ, Beáta (703 Slovakia, guarantor) and Juraj NEMEC (703 Slovakia, belonging to the institution)

Edition

1. vyd. Brno, Proceedings of the 18th International Conference: Current Trends in Public Sector Research, p. 284-292, 9 pp. 2014

Publisher

Masarykova univerzita

Other information

Language

English

Type of outcome

Stať ve sborníku

Field of Study

50600 5.6 Political science

Country of publisher

Czech Republic

Confidentiality degree

není předmětem státního či obchodního tajemství

Publication form

printed version "print"

RIV identification code

RIV/00216224:14560/14:00073659

Organization unit

Faculty of Economics and Administration

ISBN

978-80-210-6611-3

ISSN

UT WoS

000355578900035

Keywords in English

contracting; efficiency; local public services; Slovakia

Tags

International impact, Reviewed
Změněno: 6/9/2015 21:13, Mgr. Ing. Lenka Matějová, Ph.D.

Abstract

V originále

Under contracting arrangements, a government retains responsibility for providing a service, but hires private firms to produce and deliver it. The theory of contracting suggests that, provided certain conditions are met, contracting out has the potential to improve efficiency without sacrificing quality, compared to direct supply by public organizations. In developed countries, contracting out can sometimes improve the performance of the public sector. In countries making the transition from socialism to market-based economies, the situation is much more complicated. The study examines the experience with contracting out among municipalities with focus on the Slovak conditions. Despite some methodological problems, the data suggests that externalization of production (i.e., contracting out) generally delivers neither improved efficiency nor quality compared with internalized production (direct provision of public goods and services by governments). Although the data overall supports the case for internalization, it also reveals examples of effective contracting, thereby indicating the potential value of contracting if it is properly implemented. The possible policy responses to the current situation are also offered.

Links

GAP403/12/0366, research and development project
Name: Identifikace a evaluace regionálně specifických faktorů úspěšnosti reforem v duchu NPM ? země CEE