How Useful are Benefit Incidence Analyses of Public Education and Health Spending?

48 Pages Posted: 15 Feb 2006

See all articles by Hamid R. Davoodi

Hamid R. Davoodi

International Monetary Fund (IMF) - Fiscal Affairs Department

Erwin R. Tiongson

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS); Institute for the Study of Labor (IZA); University College London - CReAM - Centre for Research and Analysis of Migration; Asian Institute of Management

Sawitree Asawanuchit

affiliation not provided to SSRN

Date Written: November 2003

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.

Keywords: benefit incidence public spending on education and health targeting progressivity

JEL Classification: H51 H52 I38

Suggested Citation

Davoodi, Hamid R. and Tiongson, Erwin R. and Asawanuchit, Sawitree, How Useful are Benefit Incidence Analyses of Public Education and Health Spending? (November 2003). Available at SSRN: https://ssrn.com/abstract=880923 or http://dx.doi.org/10.2139/ssrn.880923

Hamid R. Davoodi (Contact Author)

International Monetary Fund (IMF) - Fiscal Affairs Department ( email )

700 19th Street, NW
Washington, DC 20431
United States

Erwin R. Tiongson

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS) ( email )

Washington, DC 20057
United States

Institute for the Study of Labor (IZA) ( email )

P.O. Box 7240
Bonn, D-53072
Germany

University College London - CReAM - Centre for Research and Analysis of Migration ( email )

Drayton House
30 Gordon Street
London, WC1H 0AX
United Kingdom

Asian Institute of Management ( email )

123 Paseo de Roxas
Makati, 1260
Philippines

Sawitree Asawanuchit

affiliation not provided to SSRN

No Address Available

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
264
Abstract Views
1,467
rank
150,824
PlumX Metrics