Arbeitspapier
Does public sector outsourcing decrease public employment? Empirical evidence from OECD countries
I examine the extent to which public sector outsourcing relates to public employment in OECD countries. I use new panel data on public sector outsourcing. The sample includes 26 countries over the period 2009-2015. Contrary to common expectations, the results do not suggest that public sector outsourcing expenditure was negatively related to public employment in the full sample. The relation between public sector outsourcing and public employment, however, does vary across countries. If anything, the growth in public sector outsourcing in period t-1 was positively correlated with the growth in public employment in period t. When public sector outsourcing gives rise to regrouping public employees but not reducing public employment, outsourcing may even increase inefficiencies in the public sector.
- Language
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Englisch
- Bibliographic citation
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Series: ifo Working Paper ; No. 267
- Classification
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Wirtschaft
Comparison of Public and Private Enterprises and Nonprofit Institutions; Privatization; Contracting Out
Public Sector Labor Markets
Capitalist Systems: Political Economy
Single Equation Models; Single Variables: Panel Data Models; Spatio-temporal Models
- Subject
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Public employment
public sector outsourcing
OECD countries
economic policymaking
panel data
- Event
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Geistige Schöpfung
- (who)
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Potrafke, Niklas
- Event
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Veröffentlichung
- (who)
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ifo Institute - Leibniz Institute for Economic Research at the University of Munich
- (where)
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Munich
- (when)
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2018
- Handle
- Last update
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10.03.2025, 11:42 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Potrafke, Niklas
- ifo Institute - Leibniz Institute for Economic Research at the University of Munich
Time of origin
- 2018