Public spending has effects which are complex to trace and difficult to quantify. But the composition of public expenditure has become the key instrument by which development agencies seek to promote economic development. In recent years, the development assistance to heavily indebted poor...

Spurring growth in the developing world is one stated objective of foreign aid. Another, more commonly cited, objective is reducing poverty. Generally poverty reduction and growth go hand in hand, but could aid mitigate poverty without measurably affecting growth? The authors examine how foreign...

review recent evidence on the trends in household well-being in Africa during the 1990s. They draw on the findings of a series of studies on poverty dynamics that use the better data sets now available. The authors begin by taking a broad view of poverty, tracing changes in both income poverty...

There has been much debate about how much India's poor have shared in the economic growth unleashed by economic reforms in the 1990s. The authors argue that India has probably maintained its 1980s rate of poverty reduction in the 1990s. However, there is considerable diversity in performance...

Is a pro-growth strategy always the best pro-poor strategy? To address this issue, the author provides an empirical evaluation of the impact of a series of pro-growth policies on inequality and headcount poverty. He relies on a large macroeconomic data set and estimate dynamic panel models that...

Most empirical work on how growth affects poverty and inequality has been based on international panel data sets. Panels can also be used within a country, if the analysis is carried out at the regional level. The author does this for Bangladesh, where regional panel estimates indicate that...

This paper contains abstracts of Policy Research Working Paper series Numbers2262-2299.

While the incidence of extreme poverty in China fell dramatically over 1980-2001, progress was uneven over time and across provinces. Rural areas accounted for the bulk of the gains to the poor, though migration to urban areas helped. The pattern of growth mattered. Rural economic growth was far...

The author measures structural adjustment's impact on growth and on the poor in Tanzania. Adjustment reforms have contributed to robust growth. The rural average per capita income in 1991 was, in real terms, significantly higher than in 1983. The Economic Recovery Program, launched in 1986, has...

Indonesia's labor markets, especially on the island of Java, have been transformed in the past 30 years, especially since liberalization picked up speed in the mid-1980's. The author explores the regional dimensions of that transformation. In some other countries, when labor markets changed,...