QUALITY ASSURANCE IN COMPETITIVELY TENDERED CONTRACTS
In this paper, 3 contractual forms used in the competitive tendering of public transport services are compared. Conclusions drawn from this research are: 1) under the full cost contract the operator must make strictly positive profit in order to maintain quality; 2) with the net cost contract the desired level of quality can be achieved with a lower transfer to the operator if the revenue risk is not too high; and 3) incentive contracts with measured quality included as a variable must include risk compensation for imprecise performance measurements. It is argued that the predictions of the model explain some features of actual tendering contracts.
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Availability:
- Find a library where document is available. Order URL: http://worldcat.org/oclc/856156
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Corporate Authors:
University of Bath
Claverton Down
Bath, Avon United Kingdom BA2 7AY -
Authors:
- Muren, A
- Publication Date: 2000-1
Language
- English
Media Info
- Features: References;
- Pagination: p. 99-111
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Serial:
- Journal of Transport Economics and Policy
- Volume: 34
- Issue Number: 1
- Publisher: University of Bath
- ISSN: 0022-5258
- Serial URL: http://www.jtep.com
Subject/Index Terms
- TRT Terms: Bus transit; Competitive bidding; Contracts; Franchises; Public transit; Quality assurance; Tenders; Urban transit; Urban transportation
- Uncontrolled Terms: Revenue risk
- Subject Areas: Administration and Management; Public Transportation; Society;
Filing Info
- Accession Number: 00791419
- Record Type: Publication
- Files: TRIS, ATRI
- Created Date: Apr 20 2000 12:00AM