Centralized Procurement and Delivery Times: Evidence from a Natural Experiment in Italy
36 Pages Posted: 22 Sep 2021
Date Written: 2021
We study how delivery times and prices for hospital medical devices respond to the introduction of centralized procurement. Our identification strategy leverages a legislative change in Italy that mandated centralized purchases for a sub-set of devices. The statutory centralization generated a reduction in prices and an increase in delivery times for centralized purchases relative to non-centralized purchases. We use data on quantities and on suppliers to discuss the mechanisms potentially underlying our findings.
Keywords: Public Procurement, Centralization, Medical Devices, Delivery Times, Bulk Purchasing
JEL Classification: D44, H51, H57, I18
Suggested Citation: Suggested Citation