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Defining abnormally low tenders: A comparison between Sweden and Denmark
Copenhagen Business School.
Swedish National Road and Transport Research Institute, Society, environment and transport, Transport economics.
2017 (English)In: Journal of Competition Law and Economics, ISSN 1744-6414, E-ISSN 1744-6422, Vol. 13, no 4, p. 666-709Article in journal (Refereed) Published
Abstract [en]

The concept of an abnormally low tender is not defined in EU public procurement law. This article takes an interdisciplinary law and economics approach to examine a dataset consisting of Swedish and Danish judgments and verdicts concerning the concept of an abnormally low tender. The purpose is to determine how the concept has developed in practice in two Scandinavian countries with similar legal traditions, and whether the national solutions are economically efficient. The data indicate that economic operators use various pricing strategies which may result in tenders being rejected as abnormally low or the awards of contracts to such tenders being contested. The pricing strategies will (over time) result in the contracting authorities paying too high a price and they are, therefore, economically inefficient. It is concluded that diverse solutions to the handling of abnormally low tenders have developed in the two countries and, notably, that the approaches differ with regard to how they treat different pricing strategies. Thus, the solutions are also different in terms of economic efficiency.

Place, publisher, year, edition, pages
Oxford University Press, 2017. Vol. 13, no 4, p. 666-709
Keywords [en]
Tender, Limit, Economic efficiency, Detection, Legislation
National Category
Other Legal Research
Research subject
00 Road: General works, surveys, comprehensive works, 02 Road: Economics
Identifiers
URN: urn:nbn:se:vti:diva-12820DOI: 10.1093/joclec/nhx027ISI: 000424146600004Scopus ID: 2-s2.0-85041493884OAI: oai:DiVA.org:vti-12820DiVA, id: diva2:1195463
Available from: 2018-04-05 Created: 2018-04-05 Last updated: 2025-03-19Bibliographically approved

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Nyström, Johan

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CiteExportLink to record
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  • de-DE
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