The book, public finance for poverty reduction, includes a series of papers that were prepared in the context of a World Bank Institute (WBI) public finance The book, public finance for poverty reduction, includes a series of papers that were prepared in the context of a WBI public finance learning program intended to build capacity in developing countries, with a special focus on Latin America and Sub-Saharan Africa. The book places a particular emphasis on the fiscal issues encountered by countries that are in the process of implementing a poverty reduction strategy. It provides an innovative analysis of many difficult policy issues plaguing less-developed economies in growing their economies while achieving poverty reduction. It also is appropriately concerned with administrative practice, and it provides excellent case studies on some new approaches to improving fiscal, spending, and tax policies in less-developed economies. The first chapters in public finance are appropriately 'theoretical' in reviewing basic concepts, such as fiscal sustainability, revenue design, accountability measures, and tax and benefit analysis. Without focusing too much on the concepts alone, the chapters provide good discussions of practical solutions to some of the difficulties faced by governments in reaching their objectives. The chapters in part two evaluate approaches to policies to stabilize the economy, reduce poverty, or implement better spending programs in Paraguay, Mexico, Peru, and Uruguay. Part three focuses on the poorest continent Africa with case studies of Guinea, Rwanda, Senegal, Niger, and Cape Verde. The most useful aspect of these case studies is that they provide helpful ideas for implementing policies rather than just focusing on the problems. The best part of this book, therefore, is that it offers hope to governments that it is possible to successfully implement public policies focused on fiscal stabilization, economic growth, and poverty reduction.
