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Do the Poor Benefit from Public Spending? A Look at the Evidence

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  • John Gafar

    (Department of Economics, Long Island University , Brookville, NY 11548.)

Abstract

This paper shows that public spending on basic services, to wit, primary and secondary education and basic health care, benefit the poor; while the non-poor are the principal beneficiaries of tertiary and education subsidies and hospital spending. The evidence also shows that expenditures on infrastructure spending tend to benefit the nonpoor disproportionately more than the poor.

Suggested Citation

  • John Gafar, 2005. "Do the Poor Benefit from Public Spending? A Look at the Evidence," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 44(1), pages 81-104.
  • Handle: RePEc:pid:journl:v:44:y:2005:i:1:p:81-104
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    File URL: http://www.pide.org.pk/pdf/PDR/2005/Volume1/81-104.pdf
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    References listed on IDEAS

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    1. Jalan, Jyotsna & Ravallion, Martin, 2003. "Does piped water reduce diarrhea for children in rural India?," Journal of Econometrics, Elsevier, vol. 112(1), pages 153-173, January.
    2. Lopez-Acevedo, Gladys & Salinas, Angel, 2000. "The distribution of Mexico's public spending on education," Policy Research Working Paper Series 2404, The World Bank.
    3. Coady, David P. & Grosh, Margaret & Hoddinott, John, 2002. "Targeting outcomes redux," FCND discussion papers 144, International Food Policy Research Institute (IFPRI).
    4. Filmer, Deon & Hammer, Jeffrey & Pritchett, Lant, 1998. "Health policy in poor countries : weak links in the chain," Policy Research Working Paper Series 1874, The World Bank.
    5. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
    6. Santosh Mehrotra & Enrique Delamonica, 2002. "Public spending for children: an empirical note," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(8), pages 1105-1116.
    7. William Easterly, 2002. "The Elusive Quest for Growth: Economists' Adventures and Misadventures in the Tropics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262550423, January.
    8. Antonio Estache & V. Foster & Q. Wodon, 2002. "Maling Infrastructure Reform Work for the Poor: Policy Options Based on Latin America's Experience," ULB Institutional Repository 2013/43979, ULB -- Universite Libre de Bruxelles.
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