States as Market Participants in the U.S. and the EU? Public purchasing and the environment

Abstract:

A much discussed topic in the European Union is how public procurement may be used to support general societal goals, such as good environmental protection. But to what extent is it actually possible for public authorities to use procurement in order to achieve non-economic goals? In this report, the situation in Europe is compared with the one in the United States.

American states can encourage, and in some cases require, public institutions to purchase products manufactured in that state (i.e., a geographic preference), due to the so called market participant exception.