Public Procurement Regulation and Road Quality

Abstract

Public procurement regulation is an important instrument for using public resources efficiently and ensuring quality services to citizens. On average, the public procurement sector accounts for 14.5 percent of the gross domestic product globally. Using new data, this study documents public procurement regulation and related processes in 142 economies. Scores for three public procurement areas are constructed and amalgamated into an overall quality of public procurement index. The index is then related to a measure of road quality across countries. The results indicate that improvement in the public procurement system improves road quality, especially in non-Organisation for Economic Co-operation and Development countries.