Public Expenditures, Growth and Poverty: Lessons from Developing Countries

Public Expenditures, Growth and Poverty assesses the efficacy of poverty-reduction spending in Asia, Africa, and Latin America by synthesizing studies conducted by the International Food Policy Research Institute over the past ten years. Overall, the studies find that investments in agricultural research, infrastructure, and human capital are beneficial in the long term, while food aid and poverty-reduction programmes have little utility beyond immediately abating hunger and generating short-run income effects. The book develops a conceptual framework for analysing public expenditures and their short and long-run impact on poverty through various channels. It surveys spending trends and analyses the effect of growing public investment on urban and rural poverty through case studies of China, India, Thailand and Uganda. It also highlights the advantages of directing spending toward public-works programmes that engage impoverished peoples rather than using limited aid money on food subsidies and other passive donations. Featuring discussions about the role of various social safety-net programmes, this volume will aid policymakers and research, and encourage further analytical study of worldwide poverty reduction programmes.