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- W1602615357 abstract "Disputes over penalties for breach of contract are often solved in court. A simple model shows how inefficient courts may induce public buyers to refrain from enforcing penalties for late delivery to avoid litigation, inducing sellers to delay. Using a large dataset on Italian public procurement, we then study empirically the effects of court inefficiency on public work performance. We find that, where courts are inefficient: i) public works are delivered with longer delays; ii) delays increase for more valuable contracts; iii) contracts are more often awarded to larger suppliers; iv) a higher share of the payment is postponed after delivery." @default.
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- W1602615357 date "2014-01-01" @default.
- W1602615357 modified "2023-09-24" @default.
- W1602615357 title "Court Efficiency and Procurement Performance" @default.
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- W1602615357 doi "https://doi.org/10.2139/ssrn.2468867" @default.
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