Public Procurement Procedures and Their Effects: Evidence from the EU
|Author:||Bc. Jiří Čep|
|Year:||2019 - summer|
|Leaders:|| Mgr. Miroslav Palanský M.A.
|Work type:|| Bachelors
|Awards and prizes:|
|Abstract:||The goal of this thesis is to analyze the effect the choice of procurement procedure
has on the price of public procurement. We achieve this by investigating the dataset on
public procurement data in the EU by the Digiwhist project. In the presented model, we
explain the variation in the difference of final and estimated price of procurement as a
function of procurement procedure used and a set of auction characteristics such as the
number of bidders, contract complexity, type of supply and others.
The results show that the open procedure is generally superior to its alternatives in
terms of monetary savings. We also demonstrate that in the open procedure, the largest
part of the cost reduction comes from the competition effect caused by the number of
bidders present, whereas other procedures are not as sensitive to changes in the number
of bidders. We find that the average number of bidders is significantly lower than the
optimal number would be.