The Analysis of Methods for Setting Reserve Prices to Be Tendered by a Public Administration

Setting reserve contract prices is one of the major problems a public administration has to deal with. Nevertheless, the existing approaches towards setting reserve prices for such contracts seem to be rather underdeveloped. Neither taxpayers nor controllingauthorities can estimate how effectively budget money is spent on public procurement. The graduation thesis provides the results of the analysis of 284 judicial and administration cases and 384 analytical reports of the Chamber of Accounts on practical problems of implementing the existing approaches for substantiating reserve contract prices. A classification designed within the analysis describes the most common problems in setting reserve contract prices in Russia. Main trends in solving the problems of missubstantiating reserve contract prices withing judicial and administrative systems are provided.A systems analysis approach is discussed in order to show an example of a different tool for enhancing efficiency in setting reserve contract prices.