Competition and efficiency in publicly funded services
Опубликовано на портале: 19-11-2003
OECD Economics Department Working Papers. 2002. No. 331.
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 reformed like introducing per-student funding. In childcare and long-term care for elderly and disabled, tax-credits and cash-benefits for purchase of care are frequently used as an alternative to provision by public institutions. Sub-contracting of support services is common, but seems generally to be applied less in public administration than in business services. The overall picture that emerges is that OECD countries use quite different arrangements - there is no "one way" of providing publicly funded services.