Tendering procedures and buy-national policies

This paper will examine the possible impact of restricted and negotiated procedures to the industrial structure of sectors operating in public procurement. These two tendering procedures may operate on a given activity with other nontariff barriers or as a means favoring the adjustment process of the sectors dealing with them. In the latter case, their impact is expected to be crucial as to labor productivity, competitiveness, and the like. Despite the approach which defends that the two tendering procedures under examination may represent a deviation from competition, this analysis points out that they have a positive impact on suppliers' industrial performance or that they are at least associated to products that meet an increased labor productivity. (JEL F20)