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How Useful Are Benefit Incidence Analyses of Public Education and Health Spending

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  • Erwin H Tiongson
  • Hamid R Davoodi
  • Sawitree S. Asawanuchit

Abstract

This paper provides a primer on benefit incidence analysis (BIA) for macroeconomists and a new data set on the benefit incidence of education and health spending covering 56 countries over 1960-2000, representing a significant improvement in quality and coverage over existing compilations. The paper demonstrates the usefulness of BIA in two dimensions. First, the paper finds, among other things, that overall education and health spending are poorly targeted; benefits from primary education and primary health care go disproportionately to the middle class, particularly in sub-Saharan Africa, HIPCs and transition economies; but targeting has improved in the 1990s. Second, simple measures of association show that countries with a more propoor incidence of education and health spending tend to have better education and health outcomes, good governance, high per capita income, and wider accessibility to information. The paper explores policy implications of these findings.

Suggested Citation

  • Erwin H Tiongson & Hamid R Davoodi & Sawitree S. Asawanuchit, 2003. "How Useful Are Benefit Incidence Analyses of Public Education and Health Spending," IMF Working Papers 03/227, International Monetary Fund.
  • Handle: RePEc:imf:imfwpa:03/227
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    Citations

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    Cited by:

    1. Rolf Maier, 2005. "External Debt and Pro-Poor Growth," Macroeconomics 0504031, EconWPA.
    2. Mark Gradstein & Era Dabla-Norris, 2004. "The Distributional Bias of Public Education; Causes and Consequences," IMF Working Papers 04/214, International Monetary Fund.
    3. Muhammad Akram & Faheem Jehangir Khan, 2007. "Public Provision of Education and Government Spending in Pakistan," PIDE-Working Papers 2007:40, Pakistan Institute of Development Economics.
    4. Manasan, Rosario G. & Cuenca, Janet S. & Villanueva-Ruiz, Eden C., 2008. "Benefit Incidence of Public Spending on Education in the Philippines," Discussion Papers DP 2008-08, Philippine Institute for Development Studies.
    5. Mas Jasmin Wika, Gek Sintha & Widodo, Tri, 2012. "Distribution of Government Spending on Education in Indonesia," MPRA Paper 79501, University Library of Munich, Germany.
    6. Waseem IKRAM & Khalid ZAMAN & Mehboob AHMAD & Mohammad Raza Ullah Khan NIAZI, 2011. "The Study Of Healthcare Assessment In Pakistan (1991-2007)," Review of Economic and Business Studies, Alexandru Ioan Cuza University, Faculty of Economics and Business Administration, issue 7, pages 225-237, May.
    7. Maier, Rolf, 2005. "External Debt and Pro-Poor Growth," Proceedings of the German Development Economics Conference, Kiel 2005 23, Verein für Socialpolitik, Research Committee Development Economics.
    8. Cuenca, Janet S., 2008. "Benefit Incidence Analysis of Public Spending on Education in the Philippines: A Methodological Note," Discussion Papers DP 2008-09, Philippine Institute for Development Studies.
    9. Paulo Silva Lopes, 2005. "The Disconcerting Pyramids of Poverty and Inequality of Sub-Saharan Africa," IMF Working Papers 05/47, International Monetary Fund.
    10. Manasan, Rosario G. & Cuenca, Janet S. & Villanueva-Ruiz, Eden C., 2007. "Benefit Incidence of Public Spending on Education in the Philippines," Discussion Papers DP 2007-09, Philippine Institute for Development Studies.
    11. Bernadette Kamgnia Dia & Simon Leunkeu Wangun & Christophe Tatsinkou & Josephine Afor, 2008. "Bénéfices acquis et ciblage des pauvres dans les dépenses publiques de santé et d'éducation au Cameroun," Working Papers PMMA 2008-08, PEP-PMMA.
    12. Nakar Djindil Syntiche & Tabo Symphorien Ndang & Toinar Mogota Anatole, 2007. "A qui profitent les dépenses sociales au Tchad? Une analyse d'incidence à partir des données d'enquête," Working Papers PMMA 2007-11, PEP-PMMA.
    13. Runu Bhatka, 2016. "Educational Attainment of Young Adults in India: Measures, Trends and Determinants," Working Papers id:8435, eSocialSciences.
    14. Olomola, Aderbigbe & Mogues, Tewodaj & Olofinbiyi, Tolulope & Nwoko, Chinedum & Udoh, Edet & Alabi, Reuben Adeolu & Onu, Justice & Woldeyohannes, Sileshi, 2014. "Analysis of agricultural public expenditures in Nigeria: Examination at the federal, state, and local government levels:," IFPRI discussion papers 1395, International Food Policy Research Institute (IFPRI).
    15. Janet Gale Stotsky, 2006. "Gender Budgeting," IMF Working Papers 06/232, International Monetary Fund.
    16. Essama-Nssah, B., 2008. "Assessing the redistributive effect of fiscal policy," Policy Research Working Paper Series 4592, The World Bank.
    17. Chakraborty, Lekha & Singh, Yadawendra & Jacob, Jannet Farida, 2012. "Public Expenditure Benefit Incidence on Health: Selective Evidence from India," Working Papers 12/111, National Institute of Public Finance and Policy.
    18. Rolf Maier, 2005. "Trade Policy and Pro-Poor Growth," International Trade 0504007, EconWPA.
    19. Manasan, Rosario G. & Cuenca, Janet S. & Villanueva-Ruiz, Eden C., 2009. "Benefit Incidence of Public Spending on Education in the Philippines," Philippine Journal of Development PJD 2007 Vol. XXXIV No. 2, Philippine Institute for Development Studies.
    20. Kausik K. Bhadra, 2016. "Inequality Effects of Fiscal Policy: Analysing the Benefit Incidence on Health Sector in India," Working Papers id:8433, eSocialSciences.
    21. Benedict J. Clements & Christopher Faircloth & Marijn Verhoeven, 2007. "Public Expenditure in Latin America; Trends and Key Policy Issues," IMF Working Papers 07/21, International Monetary Fund.
    22. Gul, Adnan, 2008. "Is external debt an effective way of bringing economic reforms?," MPRA Paper 10979, University Library of Munich, Germany.

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