Military Procurement and Contracting

An Economic Analysis

Frederick T. Moore

ResearchPublished 1962

A survey of problems of economic efficiency in military procurement and contracting. The author makes some specific suggestions for improvements and discusses certain problems that require further study. Background material on contracts is presented. The increasing share of procurement represented by cost-plus-a-fixed-fee contracts is noted and a reclassification of contract types is proposed. The principal change suggested is the establishment of efficiency classes in incentive contracts so that a "hard" cost target can be set. Cost underruns could then more nearly represent truly efficient behavior and not simply be the result of poor cost estimating.

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Document Details

  • Copyright: RAND Corporation
  • Availability: Web Only
  • Year: 1962
  • Pages: 148
  • Document Number: RM-2948-PR

Citation

Chicago Manual of Style

Moore, Frederick T., Military Procurement and Contracting: An Economic Analysis. Santa Monica, CA: RAND Corporation, 1962. https://www.rand.org/pubs/research_memoranda/RM2948.html.
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