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A Law of Large Numbers: Bidding and Compulsory Competitive Tendering for Refuse Collection Contracts


  • AndréS GóMez-Lobo


  • Stefan Szymanski



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Suggested Citation

  • AndréS GóMez-Lobo & Stefan Szymanski, 2001. "A Law of Large Numbers: Bidding and Compulsory Competitive Tendering for Refuse Collection Contracts," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 18(1), pages 105-113, February.
  • Handle: RePEc:kap:revind:v:18:y:2001:i:1:p:105-113
    DOI: 10.1023/A:1026545306923

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    References listed on IDEAS

    1. Brannman, Lance & Klein, J Douglass & Weiss, Leonard W, 1987. "The Price Effects of Increased Competition in Auction Markets," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 24-32, February.
    2. Giliberto, S Michael & Varaiya, Nikhil P, 1989. " The Winner's Curse and Bidder Competition in Acquisitions: Evidence from Failed Bank Auctions," Journal of Finance, American Finance Association, vol. 44(1), pages 59-75, March.
    3. Milgrom, Paul R, 1979. "A Convergence Theorem for Competitive Bidding with Differential Information," Econometrica, Econometric Society, vol. 47(3), pages 679-688, May.
    4. John Cubbin & Simon Domberger & Shirley Meadowcroft, 1987. "Competitive tendering and refuse collection: identifying the sources of efficiency gains," Fiscal Studies, Institute for Fiscal Studies, vol. 8(3), pages 49-58, August.
    5. Laffont, Jean-Jacques, 1997. "Game theory and empirical economics: The case of auction data 1," European Economic Review, Elsevier, vol. 41(1), pages 1-35, January.
    6. Robert Wilson, 1977. "A Bidding Model of Perfect Competition," Review of Economic Studies, Oxford University Press, vol. 44(3), pages 511-518.
    7. Domberger, S & Meadowcroft, S & Thompson, D J, 1986. "Competitive tendering and efficiency: the case of refuse collection," Fiscal Studies, Institute for Fiscal Studies, vol. 7(4), pages 69-87, November.
    8. Milgrom, Paul R & Weber, Robert J, 1982. "A Theory of Auctions and Competitive Bidding," Econometrica, Econometric Society, vol. 50(5), pages 1089-1122, September.
    9. Stefan Szymanski, 1996. "The impact of compulsory competitive tendering on refuse collection services," Fiscal Studies, Institute for Fiscal Studies, vol. 17(3), pages 1-19, August.
    10. Milgrom, Paul, 1989. "Auctions and Bidding: A Primer," Journal of Economic Perspectives, American Economic Association, vol. 3(3), pages 3-22, Summer.
    11. McAfee, R Preston & McMillan, John, 1987. "Auctions and Bidding," Journal of Economic Literature, American Economic Association, vol. 25(2), pages 699-738, June.
    12. repec:adr:anecst:y:1994:i:34:p:05 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)


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    Cited by:

    1. Julie Brux & Claudine Desrieux, 2014. "To allot or not to allot public services? An incomplete contract approach," European Journal of Law and Economics, Springer, vol. 37(3), pages 455-476, June.
    2. Natasha Slutskaya & Ruth Simpson & Jason Hughes & Alexander Simpson & Selçuk Uygur, 2016. "Masculinity and Class in the Context of Dirty Work," Gender, Work and Organization, Wiley Blackwell, vol. 23(2), pages 165-182, March.
    3. Jana Soukopová & Vojtìch Ficek, 2014. "Factors Influencing the Selection of Waste Collection Companies by Municipalities – Are Municipal Decision Effective?," Working Papers 15, Masaryk University, Faculty of Economics and Administration, Department of Public Economics, revised Dec 2014.
    4. Elbert Dijkgraaf & Raymond H J M Gradus, 2008. "Institutional Developments in the Dutch Waste-Collection Market," Environment and Planning C, , vol. 26(1), pages 110-126, February.
    5. Paul H. Jensen & Robin E. Stonecash, 2004. "The Efficiency of Public Sector Outsourcing Contracts: A Literature Review," Melbourne Institute Working Paper Series wp2004n29, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    6. Klênio de Souza Barbosa & Pierre C. Boyer, 2011. "Competition for Local Public Services with Learning-by-doing and Transferability," Working Papers 06-2011, Universidade de São Paulo, Faculdade de Economia, Administração e Contabilidade de Ribeirão Preto.
    7. Germa Bel & Anton Costas, 2006. "Do Public Sector Reforms Get Rusty? Local Privatization in Spain," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 9(1), pages 1-24.
    8. Andrey Yakovlev & Aleksandra Bashina & Olga Demidova, 2014. "The effectiveness of simple homogeneous commodity procurement under rigid govermental regulation: the case of granulated sugar procurement in Russia," HSE Working papers WP BRP 13/PA/2014, National Research University Higher School of Economics.
    9. Jana Soukopová & Ivan Malý, 2012. "Municipal expenditures efficiency with emphasis on the competitiveness and type of company: Case study on waste management expenditures in the South Moravian Region," Working Papers 03, Masaryk University, Faculty of Economics and Administration, Department of Public Economics, revised Mar 2013.
    10. Angeles, Luis & Milne, Robin G., 2015. "Tracking cost savings from competitive tendering in the short and long run," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon TN 2015-74, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Andersson, Fredrik & Jordahl, Henrik, 2011. "Outsourcing Public Services: Ownership, Competition, Quality and Contracting," Working Paper Series 874, Research Institute of Industrial Economics.
    12. Luis Angeles & Robin G Milne, 2015. "Tracking cost savings from competitive tendering in the short and long run," Working Papers 2015_19, Business School - Economics, University of Glasgow.
    13. Angeles, Luis & Milne, Robin G., 2015. "Tracking cost savings from competitive tendering in the short and long run," SIRE Discussion Papers 2015-74, Scottish Institute for Research in Economics (SIRE).
    14. Robin G. Milne & Robert E. Wright, 2004. "Competition and Costs: Evidence from Competitive Tendering in the Scottish National Health Service," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(1), pages 1-23, February.
    15. Zhongmin Wang & Minbo Xu, 2016. "Empirical Evidence on Competition and Revenue in an All-Pay Contest," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 49(3), pages 429-448, November.
    16. Henry Ohlsson, 2003. "Ownership and Production Costs: Choosing between Public Production and Contracting-Out in the Case of Swedish Refuse Collection," Fiscal Studies, Institute for Fiscal Studies, vol. 24(4), pages 451-476, December.
    17. Barbosa, Klênio & Fiuza, Eduardo Pedral Sampaio, 2012. "Demand aggregation and credit risk effects in pooled procurement: evidence from the Brazilian public purchases of pharmaceuticals and medical supplies," Textos para discussão 299, FGV/EESP - Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
    18. Jan Pavel & Emilia Sičáková-Beblavá, 2013. "Do E-Auctions Realy Improve the Efficiency of Public Procurement? The Case of the Slovak Municipalities," Prague Economic Papers, University of Economics, Prague, vol. 2013(1), pages 111-124.
    19. Martin Schmidt, 2015. "Price Determination in Public Procurement: A Game Theory Approach," European Financial and Accounting Journal, University of Economics, Prague, vol. 2015(1).
    20. Germà Bel & Xavier Fageda, 2008. "Privatization and competition in the delivery of local services: An empirical examination of the dual market hypothesis," Working Papers XREAP2008-04, Xarxa de Referència en Economia Aplicada (XREAP), revised Apr 2008.
    21. Luis Angeles & Robin G. Milne‌, 2015. "Tracking cost savings from competitive tendering in the short and long run," Working Papers 2015_11, Business School - Economics, University of Glasgow.
    22. repec:rom:rampas:v:2017:y:2017:i:28:p:25-44 is not listed on IDEAS
    23. Athias, Laure & Nunez, Antonio, 2008. "The more the merrier? Number of bidders, information dispersion, renegotiation and winner’s curse in toll road concessions," MPRA Paper 10539, University Library of Munich, Germany.
    24. Jan Pavel, 2010. "Analýza vlivu míry konkurence na cenu rozsáhlých staveb dopravní infrastruktury
      [The Analysis of the Relationship Between the Rate of Competition and the Prices of Large Transport Infrastructure Bu
      ," Politická ekonomie, University of Economics, Prague, vol. 2010(3), pages 343-356.


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