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Competition and Efficiency in Publicly Funded Services

  • Jens Lundsgaard

This paper reviews the extent to which OECD countries have opened the provision of publicly funded services to competition among public and private suppliers. The paper lays out an analytical framework identifying the inherent incentive and efficiency issues associated with the provision of publicly funded services and outlines how they may be addressed via performance-related funding, benchmarking, contracting-out by public agencies and voucher schemes which allow users to choose among suppliers while maintaining public funding. Also, the empirical literature on contracting-out of technical and support services and on school choice is reviewed. In compulsory education, the provision mode is relatively uniform across OECD countries with most students by far attending public schools. However, the involvement of private institutions increase with education level and orientation towards occupational skills, and in many countries funding arrangements for public institutions are being ... Concurrence et efficacité dans les services financés par le secteur public Cette étude examine dans quelle mesure les pays de l'OCDE ont ouvert l'offre de services financés par l’Etat à la concurrence entre fournisseurs publics et privés. Elle définit un cadre analytique pour identifier les problèmes intrinsèques d'incitation et d'efficience associés à la prestation de services financés par l’Etat et montre brièvement comment ceux-ci peuvent être résolus avec un financement lié aux résultats, des analyses comparatives, des contrats de sous-traitance par les organismes publics et des programmes de coupons, de façon à permettre aux usagers de choisir entre plusieurs fournisseurs tout en maintenant les financements publics. Par ailleurs, le document passe en revue les études empiriques sur la sous-traitance des services techniques et de soutien et sur le choix de l'établissement scolaire. Au stade de la scolarité obligatoire, le mode de prestation est relativement uniforme dans l'ensemble des pays de l'OCDE, la très grande majorité des élèves fréquentant l’école ...

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Paper provided by OECD Publishing in its series OECD Economics Department Working Papers with number 331.

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Date of creation: 06 Jun 2002
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Handle: RePEc:oec:ecoaaa:331-en
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