Public Spending and Outcomes: Does Governance Matter?

32 Pages Posted: 20 Apr 2016

See all articles by Vinaya Swaroop

Vinaya Swaroop

World Bank - Development Research Group (DECRG)

Andrew Sunil Rajkumar

World Bank - Development Research Group (DECRG)

Multiple version iconThere are 2 versions of this paper

Date Written: May 7, 2002

Abstract

Rajkumar and Swaroop examine the role of governance - measured by level of corruption and quality of bureaucracy - and ask how it affects the relationship between public spending and outcomes. Their main innovation is to see if differences in efficacy of public spending can be explained by quality of governance. The authors find that public health spending lowers child and infant mortality rates in countries with good governance. The results also indicate that as countries improve their governance, public spending on primary education becomes effective in increasing primary education attainment. These findings have important implications for enhancing the development effectiveness of public spending. The lessons are particularly relevant for developing countries, where public spending on education and health is relatively low, and the state of governance is often poor.

This paper - a product of Public Services, Development Research Group - is part of a larger effort in the group to better understand issues relating to effective service delivery.

Suggested Citation

Swaroop, Vinaya and Rajkumar, Andrew Sunil, Public Spending and Outcomes: Does Governance Matter? (May 7, 2002). World Bank Policy Research Working Paper No. 2840, Available at SSRN: https://ssrn.com/abstract=636188

Vinaya Swaroop (Contact Author)

World Bank - Development Research Group (DECRG) ( email )

1818 H. Street, N.W.
MSN3-311
Washington, DC 20433
United States

Andrew Sunil Rajkumar

World Bank - Development Research Group (DECRG) ( email )

1818 H. Street, N.W.
MSN3-311
Washington, DC 20433
United States

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

Paper statistics

Downloads
530
Abstract Views
3,050
rank
52,092
PlumX Metrics