Theories of contracting out offer contrasting perspectives on the noneconomic determinants of local government contracting. Some suggest ideological motives predominate, with contracting decisions reflecting the ideology of ruling parties. Others emphasise political motives, with governments responding to local preferences. In this paper, we draw on ideas about isomorphic pressures within organizational fields to examine whether institutional influences might also affect contracting behaviour. Using a spatial auto-regressive probit model, we evaluate whether mimetic pressures as well as ideological and political motives shape the decision to contract out service provision in English local governments. In addition, we analyse whether those factors also determine whether contracting local governments decide to contract with a commercial firm or a not-for-profit provider. The statistical results suggest that the decision to contract out is spatially dependent, and hence reflective of institutional forces. By contrast, political motives and market size considerations shape with whom local governments contract.
History
School
Business and Economics
Department
Business
Published in
Public Administration
Volume
94
Issue
1
Pages
244-262
Citation
ALONSO, J.M., ANDREWS, R. and HODGKINSON, I.R., 2016. Institutional, ideological and political influences on local government contracting: evidence from England. Public Administration, 94 (1), pp.244-262.
This work is made available according to the conditions of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0) licence. Full details of this licence are available at: https://creativecommons.org/licenses/by-nc-nd/4.0/
Acceptance date
2015-07-31
Publication date
2015-10-28
Notes
This is the peer reviewed version of the following article: ALONSO, J.M., ANDREWS, R. and HODGKINSON, I.R., 2016. Institutional, ideological and political influences on local government contracting: evidence from England. Public Administration, 94 (1), pp.244-262, which has been published in final form at http://dx.doi.org/10.1111/padm.12216. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Self-Archiving.