About this project
The aim of the project is to study the empirical relationship between offered prices and offered quality in Swedish public procurement. In many tenders for public contracts, the evaluation of the bids not only includes just the price, but also other qualitative criteria. A priori we would expect that offered prices for goods and services in public tenders are positively correlated with offered qualitative properties. However, there are reasons to believe that this relationship is not always to be empirically observed in data. Using data from a large number of public tenders in Sweden, the project tests different hypotheses as to different interpretation of the correlation between price and quality.