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Weight Values, Scoring Rules and Abnormally Low Tenders Criteria in Multidimensional Procurement: Effects on Price

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  • Jorge González Chapela

    (Centro Universitario de la Defensa de Zaragoza)

Abstract

Many weighing functions are currently in use for evaluating quotes in multidimensional procurement. Although these may affect the price paid by the buyer, their design has been little informed by empiri-cal considerations. This paper studies the impacts of weight values, scoring rules, and abnormally low tenders criteria (ALTC) in an original sample of procurements of services. The panel dimension of the data and the rich set of procurement characteristics are exploited to show that convex price scoring rules (PSRs) and increases in the weight for price yield lower prices, whereas independent/interdepend-ent PSRs and different ALTC result in the same price.

Suggested Citation

  • Jorge González Chapela, 2019. "Weight Values, Scoring Rules and Abnormally Low Tenders Criteria in Multidimensional Procurement: Effects on Price," Hacienda Pública Española / Review of Public Economics, IEF, vol. 228(1), pages 55-81, March.
    • Handle: RePEc:hpe:journl:y:2019:v:228:i:1:p:55-81
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    References listed on IDEAS

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    1. Jordi Rosell, 2023. "Green Public Procurement in Spain," Hacienda Pública Española / Review of Public Economics, IEF, vol. 245(1), pages 95-117, June.

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    More about this item

    Keywords

    Multidimensional procurement; weighing function; scoring rule; abnormally low tenders criterion; Spanish Armed Forces.;
    All these keywords.

    JEL classification:

    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement

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