organizational decision is driven by two countervailing effects: the ownership rights effect favors outsourcing, while the "indirect … outsourcing of the "less important" supplier is chosen in equilibrium. We also consider an open economy setup where the producer …

, it is somewhat surprising that many social scientists have preferred to explain government outsourcing by the pursuit of … economic efficiency. Starting out from different theories, we investigate political explanations of government outsourcing … using a Swedish data set in which outsourcing varies between municipalities and over time, as well as between services. Our …