Which type of contract is primarily used in sealed bidding?

The firm-fixed-price contract is the type primarily used in sealed bidding because it provides a clear and definitive price for the goods or services being contracted. This structure is beneficial in sealed bidding scenarios, where bids are typically submitted in a sealed manner without negotiation on price after submission. The firm-fixed-price approach promotes competition and encourages bidders to provide their best price upfront, knowing that they will be bound to that price throughout the duration of the contract.

In a firm-fixed-price contract, the contractor assumes the risk associated with cost overruns, which incentivizes them to manage their costs effectively. This aligns well with the objectives of sealed bidding, where transparency and price certainty are essential for a fair evaluation of bids.

Other contract types listed may involve more complexity or flexibility in pricing, which does not suit the sealed bidding format where final prices are established prior to award based on the bids submitted.