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Election Cycles in European Public Procurement

Annika Havlik, Friedrich Heinemann and Justus Nover

FinanzArchiv: Public Finance Analysis, 2021, vol. 77, issue 4, 376-407

Abstract: We study the existence of election cycles in public procurement in the European Union. Along the procurement process, we separately analyze contract notices, contract awards, and project completions. We point out how these steps differ in their potential to address specific voter types. We argue that the award is particularly appealing for politicians. It allows them to please the award-winning firms' stakeholders and the spending decision becomes credible from the perspective of forward-looking voters. We find robust evidence for electioneering in contract notices and awards. The effect in awards is stronger for certain sub-categories like education and more visible projects.

Keywords: forward-looking voters; political budget cycles; retrospective voting; tenders electronic daily (TED) (search for similar items in EconPapers)
JEL-codes: D72 D73 H57 (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:mhr:finarc:urn:doi:10.1628/fa-2021-0021

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DOI: 10.1628/fa-2021-0021

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