ABSTRACT

This chapter offers a review of privatization as contracting out for all dimensions of performance, firstly using the traditional narrative review method and then, where possible, adopting the meta-analytic perspective. It shows that one option in any review is to go systematically through all of the available literature. This philosophy enables the reviewer to summarize findings, review study design characteristics, comment on the veracity of the conclusions reached, and discuss potential applications to the reviewer's context. Accompanying the initial impression of the cost savings estimates, some major limitations must be raised. Most of the evidence presented by contracting out and competitive tendering studies relates to economic efficiency in one form or another. There is little doubt the weight of evidence appears to support the notion that on average the unit costs of services are reduced through competitive tendering of public services.