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Approaches to Improve the Composition of Public Expenditures (Technical Round Table)

Date: Thursday, October 13, 2005
Time: 9:00am - 2:00pm
Location: To be announced

Chair: Shantayanan  Devarajan

Audience: PER teams that have expressed interest (Malawi, Cameroon, Mozambique, Moldova, Croatia, Ukraine, Bangladesh - total of 25 max)

A number of recent initiatives have emphasized poverty reduction as a primary development policy goal. The HIPC Initiative, the PRSPs, and the broad agreement on the Millennium Development Goals (MDGs) have all emphasized the need to identify specific policies and programs for effectively reducing poverty.  A key challenge in pursuing this goal is to find the appropriate composition of public spending.

The Bank's main instrument to inform policy dialogue with governments on this topic are Public Expenditure Reviews (PER). But there is a dearth of useful guidance and empirical work on the impact of the composition of public spending on growth, equity and absolute poverty. However, a number of recent efforts are beginning to bridge this gap. At this workshop, speakers will present several empirical approaches representative of these efforts to analyze the link between expenditure composition, growth, inequality, and poverty. The presentations will be followed by a panel discussion of the relative strengths and weaknesses of these approaches and what PER teams need to consider when choosing the most useful approach for their analytical work.

Agenda and background reading:

 9:00-9:10 Introduction of Event Objectives and Panel Members (organizers)
 9.10-9.25 Public spending growth and poverty reduction - Opening remarks  (Shanta Devarajan)
 9:30-2:00

Panel Presentations
Each speaker to give a 25 minute presentation, followed by 10 minutes for questions. (Moderated by Shanta Devarajan)

9:25-9:50 ... Emmanuel Pinto Morreira(CGE) Roads Out of Poverty? Assessing the Links Between Aid, Public Investment, Growth, and Poverty Reduction (493kb PDF)

10.00-10:30 ... Hans LofgrenEconomy wide simulations of Ethiopian MDG strategies (126kb PDF)

10.40-10.55 ... Coffee break

10.55-11.15 ... Shenggen Fan(Regression analysis) Public Expenditure, Growth, and Poverty Reduction (417kb PDF)

11.25 - 12:00 ... Comments/feed back by discussants (Delfin Go, 2nd person TBC)            

12.00-1.00 ... Panel of practitioners (TBC) moderated by chair   

1.00-2.00 ... Open discussion (moderated by chair with concluding remarks), BBL provided                    

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