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Publishing Construction Contracts as a Tool for Efficiency and Good Governance - Working Paper 272

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  • Charles Kenny

Abstract

Construction is a $1.7 trillion industry worldwide, much of which is linked to publicly financed projects. Outcomes from this financing are frequently suboptimal. Cost and time escalation, as well as poor quality, are linked to weak governance and corruption, which are endemic in the sector. There is considerable evidence that transparency and oversight are potentially powerful tools to reduce the development impact of corruption. One comparatively cheap and potentially powerful tool to improve outcomes in public procurement is the regular publication of contract and implementation details. In particular, the publication of government contracts would considerably improve transparency. Publication would also provide a large stock of public intellectual capital which should (i) reduce legal costs of contracting; and (ii) help spread best practices and ease the process of learning lessons from failed approaches. The approach is feasible: some jurisdictions have already introduced it.

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File URL: http://www.cgdev.org/files/1425688_file_Kenny_construction_contracts_FINAL.pdf
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Bibliographic Info

Paper provided by Center for Global Development in its series Working Papers with number 272.

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Length: 10 pages
Date of creation: Nov 2011
Date of revision:
Handle: RePEc:cgd:wpaper:272

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Web page: http://www.cgdev.org

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Keywords: economics & finance; procurement; public policy;

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  1. Dollar, David & Levin, Victoria, 2005. "Sowing and reaping: institutional quality and project outcomes in developing countries," Policy Research Working Paper Series 3524, The World Bank.
  2. Jain, Arvind K, 2001. " Corruption: A Review," Journal of Economic Surveys, Wiley Blackwell, vol. 15(1), pages 71-121, February.
  3. Abhijit Banerjee & Rukmini Banerji & Esther Duflo & Rachel Glennerster & Stuti Khemani, 2008. "Pitfalls of Participatory Programs: Evidence From a Randomized Evaluation in Education in India," NBER Working Papers 14311, National Bureau of Economic Research, Inc.
  4. Benjamin Olken, 2005. "Monitoring corruption: Evidence from a field experiment in indonesia," Natural Field Experiments 00317, The Field Experiments Website.
  5. Kenny, Charles, 2006. "Measuring and reducing the impact of corruption in infrastructure," Policy Research Working Paper Series 4099, The World Bank.
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