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This paper analyzes trends in social indicators in sub-Saharan Africa (SSA) and their correlation with the three most widely used scaled measures of government social spending: in per capita terms, as a percentage of GDP, and as a percentage of total government expenditure. On the basis of a regional data set matching health and education outcome indicators with government spending on those sectors, cross-country statistical analysis shows spending both per capita and as a percent of GDP to be of some relevance to social outcomes, but not the share of social spending in budgetary allocations. The policy implications concern not only governments in the region, but also the international donor community for its role in supporting social programs in SSA.
Public Finance --- National Government Expenditures and Health --- National Government Expenditures and Education --- Health: Government Policy --- Regulation --- Public Health --- Education: Government Policy --- National Government Expenditures and Related Policies: General --- Health: General --- Education: General --- Public finance & taxation --- Health economics --- Education --- Expenditure --- Education spending --- Health --- Total expenditures --- Expenditures, Public --- United States
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There is little empirical evidence to support the claim that public spending improves education and health indicators. This paper uses cross-sectional data for 50 developing and transition countries to show that expenditure allocations within the two social sectors improve both access to and attainment in schools and reduce mortality rates for infants and children. The size and efficiency of these allocations are important for promoting equity and furthering second-generation reforms.
Public Finance --- Health Behavior --- Health: Government Policy --- Regulation --- Public Health --- General Welfare --- National Government Expenditures and Health --- National Government Expenditures and Education --- Education: General --- Health: General --- National Government Expenditures and Related Policies: General --- Public finance & taxation --- Education --- Health economics --- Health care spending --- Education spending --- Health --- Expenditure --- Expenditures, Public
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Using data for a sample of developing and transition countries, this paper estimates the relationship between government spending on health care and education, and social indicators. Unlike previous studies, where social indicators are used as proxies for the unobservable health and education status of the population, this paper estimates a latent variable model. The findings suggest that public social spending is an important determinant of social indicators, particularly in the education sector. Overall, the latent variable approach was found to yield more adequate estimates of social production functions, with larger elasticities of social indicators with respect to income and spending on education than the traditional approach, providing stronger evidence that increases in public spending have a positive impact on social indicators. The study also finds that the millennium goal of universal primary education enrollment by 2015 could be achieved through an increase by one-third, on average, in education spending.
Public Finance --- Health Behavior --- Health: Government Policy --- Regulation --- Public Health --- General Welfare --- National Government Expenditures and Related Policies: General --- Education: General --- National Government Expenditures and Health --- National Government Expenditures and Education --- Health: General --- Public finance & taxation --- Education --- Health economics --- Expenditure --- Health care spending --- Education spending --- Health --- Expenditures, Public
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This paper estimates the impact of public spending on the poor's health status in over 70 countries. It provides evidence that the poor have significantly worse health status than the rich and that they are more favorably affected by public spending on health care. An important new result is that the relationship between public spending and the health status of the poor is stronger in low-income countries than in higher-income countries. However, the results suggest that increased public spending alone will not be sufficient to meet international commitments for improvements in health status.
Public Finance --- Health Policy --- Health Behavior --- Health: Government Policy --- Regulation --- Public Health --- Welfare, Well-Being, and Poverty: General --- Health: General --- National Government Expenditures and Health --- National Government Expenditures and Related Policies: General --- Analysis of Health Care Markets --- Education: General --- Public finance & taxation --- Health economics --- Health systems & services --- Education --- Health --- Health care spending --- Expenditure --- Health care --- Expenditures, Public --- Medical care --- Egypt, Arab Republic of
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This technical note analyzes the health care spending issues in advanced economies. Both public and total health spending have increased substantially in advanced countries. Total health spending increased by more than 6 percentage points of GDP in the Organization for Economic Cooperation and Development countries between 1970 and 2007. This note examines the recent trends in health care spending in advanced countries. It discusses the main challenges for advanced countries over the medium term. Policy options for containing health care costs are also described.
Insurance --- Public Finance --- Health Policy --- National Government Expenditures and Health --- Health: Government Policy --- Regulation --- Public Health --- Analysis of Health Care Markets --- Insurance Companies --- Actuarial Studies --- Health: General --- National Government Expenditures and Related Policies: General --- Public finance & taxation --- Health systems & services --- Insurance & actuarial studies --- Health economics --- Health care spending --- Health care --- Health --- Expenditure --- Financial institutions --- Expenditures, Public --- Medical care --- United States
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The measurement of the efficiency of public education expenditure using parametric and non-parametric methods has proven challenging. This paper seeks to overcome the difficulties of earlier studies by using a hybrid approach to measure the efficiency of secondary education spending in emerging and developing economies. The approach accounts for the impact of the level of development on education outcomes by constructing different efficiency frontiers for lower- and higher-income economies. We find evidence of large potential gains in enrollment rates by improving efficiency. These are largest in lower-income economies, especially in Africa. Reallocating expenditure to reduce student-to-teacher ratios (where these are high) and improving the quality of institutions (as measured by the "governance effectiveness" indicator in the World bank's Governance Indicators database) could help improve the efficiency of education spending. Easing the access to education facilities and reducing income inequality (as measured by the Gini coefficient) could also help improve efficiency.
Education --- School finance --- Schools --- Finance. --- Finance --- Macroeconomics --- Public Finance --- National Government Expenditures and Health --- Health Behavior --- Health: Government Policy --- Regulation --- Public Health --- National Government Expenditures and Education --- National Government Expenditures and Related Policies: General --- Education: General --- Aggregate Factor Income Distribution --- Public finance & taxation --- Education spending --- Expenditure efficiency --- Expenditure --- Income --- National accounts --- Expenditures, Public --- United Arab Emirates
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Developing and low-income economies face the challenge of increasing public spending to address sizeable infrastructure and social gaps while simultaneously restoring the fiscal discipline weakened to countervail the effect of the global recession. Increasing the efficiency of social spending could be the key policy to address the dilemma as it allows the optimization of the existing resources by reducing spending inefficiencies. This paper quantifies the efficiency gap in the health and education sectors for a large sample of developing and emerging countries and proposes measures to reduce these gaps for the specific cases of El Salvador, Guatemala, and Honduras.
Public Finance --- National Government Expenditures and Health --- National Government Expenditures and Education --- Health: Government Policy --- Regulation --- Public Health --- Education: Government Policy --- National Government Expenditures and Related Policies: General --- Education: General --- Health: General --- Public finance & taxation --- Education --- Health economics --- Education spending --- Expenditure --- Health --- Expenditure efficiency --- Health care spending --- Expenditures, Public --- El Salvador
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