traditional procurement (TP) and public-private partnership (PPP). We show that a mixed regime, in which TP is used in one …

Unlike standard auctions, we show that competitive procurement may optimally limit competition or use inefficient … allocation rules that award the project to a less efficient firm with positive probability. Procurement projects often involve ex … post moral hazard after the competitive process is over. A procurement mechanism must combine an incentive scheme with the …

of a relational contracting model of repeated procurement with non-contractible, buyer-specific investments. In …