Contracting Out Local Public Services
Authors | |
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Year of publication | 2014 |
Type | Article in Proceedings |
Conference | Proceedings of the 19th International Conference: Theoretical and Practical Aspects of Public Finance 2014 |
MU Faculty or unit | |
Citation | |
Field | Management and administrative |
Keywords | contracting; local public services; efficiency; Slovakia |
Description | The theory of contracting suggests that, provided certain conditions are met, contractin out has the potential to improve efficiency without cacrificing quality, compared to direct supply by public organizations. Detailed analysis of the Slovak situation suggests that externalization of production generally delivers neither improved efficiency nor better quality compared with internalized production. In a few specific situations, however, the data reveal that contracting can be effective when properly implemented. The paper uses method of best values of indicators to measure efficiency and discusses the limitations of municipal data based on cash accounting. |
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