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The implementation of public works in Italy: institutional features and regional characteristics

Author

Listed:
  • Audinga Baltrunaite

    (Bank of Italy)

  • Tommaso Orlando

    (Bank of Italy)

  • Gabriele Rovigatti

    (Bank of Italy)

Abstract

Project duration is an important metric in the assessment of public works procurement and consists of the time taken to complete the three major sub-phases (design, awarding and execution). The overall duration may be influenced by various factors such as project characteristics, local market conditions, and the features of the contracting authority. Italy is characterized by stark territorial differences, potentially encompassing all the above dimensions. This paper uses granular data on Italian procurement to investigate public works’ completion times in the last decade. We unveil performance differentials across macro-areas and analyze possible drivers. We find that i) Southern regions underperform with respect to those in the Centre-North, in particular in phases characterized by a greater intensity of administrative tasks; ii) durations are significantly correlated with the features of the contracting authority, such as workforce composition, workload and experience, and administrative efficiency; iii) these factors, however, explain the North-South divide only partially, suggesting the need to further analyze the internal functioning of contracting authorities.

Suggested Citation

  • Audinga Baltrunaite & Tommaso Orlando & Gabriele Rovigatti, 2021. "The implementation of public works in Italy: institutional features and regional characteristics," Questioni di Economia e Finanza (Occasional Papers) 659, Bank of Italy, Economic Research and International Relations Area.
    • Handle: RePEc:bdi:opques:qef_659_21
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    References listed on IDEAS

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    Cited by:

    1. Alfredo Bardozzetti & Paolo Chiades & Anna Laura Mancini & Vanni Mengotto & Giacomo Ziglio, 2022. "Weaknesses and perspectives of municipal finance in southern Italy in the eve of Covid-19," Questioni di Economia e Finanza (Occasional Papers) 708, Bank of Italy, Economic Research and International Relations Area.
    2. Anna Laura Mancini & Alfredo Bardozzetti & Giacomo Ziglio & Paolo Chiades & Vanni Mengotto, 2023. "Criticit? e prospettive della finanza comunale nel Mezzogiorno alla vigilia del Covid-19," ECONOMIA PUBBLICA, FrancoAngeli Editore, vol. 2023(1), pages 33-95.
    3. Finocchiaro Castro, Massimo & Guccio, Calogero & Rizzo, Ilde, 2023. "“One-size-fits-all” public works contract does it better? An assessment of infrastructure provision in Italy," Journal of Policy Modeling, Elsevier, vol. 45(5), pages 994-1014.

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    More about this item

    Keywords

    public procurement; public works; local authorities; local administrations;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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