International Cooperation and the Reform of Public Procurement Policies

Working Paper: CEPR ID: DP4663

Authors: Simon J. Evenett; Bernard Hoekman

Abstract: The stalemate reached on launching negotiations on most of the Singapore Issues at CancĂșn provides an opportunity to revisit the knowledge base upon which proposals for international collective action may be drawn. This Paper examines the available evidence on public procurement practices in developing countries that could be relevant to multilateral rule making. Although there is considerable agreement on ends (efficient, non-corrupt, and transparent public purchasing systems), little information is available on means: effective and replicable strategies that developing countries have adopted to improve their public procurement systems. A concerted effort to substantially add to the knowledge base on public procurement reforms in developing countries, through targeted research and international exchange of information on applied procurement policies and outcomes, is critical to identify areas where binding multilateral disciplines may be beneficial. The literature surveyed in this Paper suggests that reforms of public procurement systems are often guided by international instruments and templates, but are not informed by quantitative assessments of the cross-country experience as regards the different options, mechanisms and technologies that can be adopted. A research agenda to help fill these lacunae is presented ? implementation of which might inform a WTO-based effort to identify options for international cooperation.

Keywords: Doha Round; Economic Development; Government Procurement; WTO

JEL Codes: F13; H57


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
Improving transparency in public procurement (H57)More efficient resource allocation (D61)
Improving transparency in public procurement (H57)Increased competition (L13)
Increased competition (L13)Reduced costs (D61)
Improving transparency in public procurement (H57)Enhanced quality of services (L15)
Improving transparency in public procurement (H57)Limited corruption (D73)
Limited corruption (D73)Improved investment conditions (F21)
Lack of comprehensive data on procurement markets (H57)Difficulty in evaluating effectiveness of proposed reforms (D78)
Lack of understanding of national experiences (F52)Challenge in advocating for binding multilateral rules (F13)
Current literature lacking detail on mechanisms (D87)Necessity for further research to clarify relationships (Y50)

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