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Agriculture Public Spending and Growth:The Example of Indonesia

  • Blanco Armas, Enrique

    ()

    (World Bank)

  • Gomez Osorio, Camilo

    ()

    (World Bank)

  • Moreno-Dodson, Blanca

    ()

    (World Bank)

Registered author(s):

    This note analyzes the trends and evolution of public spending in the agriculture sector in Indonesia, as well as its impact on the growth of agriculture during the period 1976–2006. Public spending on agriculture and irrigation had a positive impact on agriculture growth during that period, whereas public spending on fertilizer subsidies had the opposite effect. As Indonesia continues its efforts to revitalize the agriculture sector, public spending should be directed at improving the provision of public services rather than at subsidizing private inputs.

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    File URL: http://siteresources.worldbank.org/INTPREMNET/Resources/EP9.pdf
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    Article provided by The World Bank in its journal Economic Premise.

    Volume (Year): (2010)
    Issue (Month): 9 (April)
    Pages: 1-4

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    Handle: RePEc:wbk:prmecp:ep9
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    1. Keith Fuglie, 2004. "Productivity growth in Indonesian agriculture, 1961-2000," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 40(2), pages 209-225.
    2. Allcott, Hunt & Lederman, Daniel & Lopez, Ramon, 2006. "Political institutions, inequality, and agricultural growth : the public expenditure connection," Policy Research Working Paper Series 3902, The World Bank.
    3. Lopez, Ramon & Galinato, Gregmar I., 2007. "Should governments stop subsidies to private goods? Evidence from rural Latin America," Journal of Public Economics, Elsevier, vol. 91(5-6), pages 1071-1094, June.
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