Public Education Spending and Poverty in Burkina Faso: A Computable General Equilibrium Approach

PEP MPIA Working paper series 2011-04

37 Pages Posted: 31 May 2011 Last revised: 11 Jul 2018

Multiple version iconThere are 2 versions of this paper

Date Written: November 1, 2010

Abstract

A multisectoral computable general equilibrium model is constructed to evaluate the direct and indirect effects of public education policy on well-being, poverty and income distribution in Burkina Faso. It specifies a flexible endowment of qualified and unqualified workers in each household. The education system is divided in two: primary education and higher education. The volume of higher education is exogenous while primary education is demanded by households as an investment to “transform” unqualified workers into qualified workers. The simulations indicate that a 40% across-the-board increase in public subsidies for primary education, financed by an increase in taxes on household income and sales taxes, not only leads to an increase in welfare but also to a decline in the incidence of poverty for all household types.

Keywords: CGE model, public education spending, Burkina Faso

JEL Classification: C68, H52, I21, I32, J24, O55

Suggested Citation

Balma, Lacina and Ilboudo, W. Francine Alida and Ouattara, Adama and Kabore, Romeo and Zerbo, Kassoum and Kabore, Samuel Tambi, Public Education Spending and Poverty in Burkina Faso: A Computable General Equilibrium Approach (November 1, 2010). PEP MPIA Working paper series 2011-04. Available at SSRN: https://ssrn.com/abstract=1853427 or http://dx.doi.org/10.2139/ssrn.1853427

Lacina Balma (Contact Author)

UNICEF ( email )

01 BP 6798 Ouagadougou 01
Ouagadougou, Kadiogo 00226
Burkina Faso
+22670447526 (Phone)

HOME PAGE: http://ssrn.com/author=1644855

W. Francine Alida Ilboudo

Independent ( email )

No Address Available

Adama Ouattara

Independent ( email )

No Address Available

Romeo Kabore

Independent ( email )

No Address Available

Kassoum Zerbo

Université Ouaga II ( email )

Gonse
Burkina Faso

Samuel Tambi Kabore

Independent ( email )

No Address Available

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