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Does Institutional Quality Matter for Infrastructure Provision? A Non-parametric Analysis for Italian Municipalities

Author

Listed:
  • Marina Cavalieri

    (University of Catania)

  • Calogero Guccio

    (University of Catania)

  • Domenico Lisi

    (University of Catania)

  • Ilde Rizzo

    (University of Catania)

Abstract

This study explores the relationship between different dimensions of regional institutional quality and the efficient provision of transport infrastructure. A two-stage semi-parametric approach is applied to a large sample of public works procured by about 1700 Italian municipalities in the 2000–2014 period. First, we estimate the performance in contract execution; then, we test the impact of different measures and dimensions of institutional quality at both regional and provincial level. The results provide evidence that the quality of institutional environment matters in infrastructure procurement, though some specific dimensions of institutional quality appear to be more relevant than others in affecting performance in contract execution. Overall, the estimates are robust to alternative measures of institutional quality, alternative model specifications, and different sample selections.

Suggested Citation

  • Marina Cavalieri & Calogero Guccio & Domenico Lisi & Ilde Rizzo, 2020. "Does Institutional Quality Matter for Infrastructure Provision? A Non-parametric Analysis for Italian Municipalities," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 6(3), pages 521-562, November.
    • Handle: RePEc:spr:italej:v:6:y:2020:i:3:d:10.1007_s40797-019-00111-1
    DOI: 10.1007/s40797-019-00111-1
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    Cited by:

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    More about this item

    Keywords

    Efficiency; Non-parametric methods; Semi-parametric truncated regression; Municipalities; Institutional quality; Public works contracts;
    All these keywords.

    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General

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