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Competition and costs: evidence from competitive tendering in the Scottish National Health Service

Milne, Robin G. and Wright, Robert E. (2004) Competition and costs: evidence from competitive tendering in the Scottish National Health Service. Scottish Journal of Political Economy, 51 (1). pp. 1-23. ISSN 0036-9292

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Abstract

This paper estimates the impact of competitive tendering on cleaning costs in Scottish National Health Service hospitals. Unlike previous studies, which have relied on cross-sectional data, a five-year balanced panel of 176 hospitals is used to estimate a series of fixed effects regression models. These panel estimates suggest that previous studies have likely over-estimated the cost-savings associated with competitive tendering. The findings also suggest that the lower costs associated with competitive tendering have more to do with auction theory than with any intrinsic efficiency of the private sector.

Item type: Article
ID code: 6927
Keywords: competition, economics, national health service, scotland, competitive tendering, Scotland, Economic Theory, Public health. Hygiene. Preventive Medicine
Subjects: Political Science > Political institutions (Europe) > Scotland
Social Sciences > Economic Theory
Medicine > Public aspects of medicine > Public health. Hygiene. Preventive Medicine
Department: Strathclyde Business School > Economics
Related URLs:
Depositing user: Strathprints Administrator
Date Deposited: 01 Oct 2008
Last modified: 12 Mar 2012 10:46
URI: http://strathprints.strath.ac.uk/id/eprint/6927

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