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Restoring Fiscal Discipline for Poverty Reduction in Peru : A Public Expenditure Review

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  • World Bank
  • Inter-American Development Bank

Abstract

This public expenditure review is produced jointly by the World Bank and the Inter-American Development Bank, and focuses on social sectors spending and leaves aside infrastructure and other sectors. This report, finalized in June 2002 and discussed with Authorities in mid-August 2002, does not take into account policy developments occurring after this time. The report is organized as follows: Chapter 1 presents a synthesis of Peru's public expenditure reform agenda from the Bank's perspective. It is based on, and distills, the thematic chapters that make up this report. Chapters 2-4 examine the core functions of public expenditure management: macro fiscal aggregates, resource allocations to strategic sectors, and microeconomic efficiency of public spending. Chapters 5-8 explore selected themes, such as the decentralization of public administration and the social sectors; civil service reform; governance and corruption; and mining fiscal and environmental issues. These chapters are, in turn, supported by fifteen topic-specific background papers, including an innovative public expenditure tracking survey on municipal transfers. Other topics focus on public sector employment; decentralization of health and education; an empirical diagnostic study on governance, rule of law, and corruption; and a comparison of the Peruvian tax system with mining tax systems in other nations.

Suggested Citation

  • World Bank & Inter-American Development Bank, 2003. "Restoring Fiscal Discipline for Poverty Reduction in Peru : A Public Expenditure Review," World Bank Publications - Books, The World Bank Group, number 15118.
    • Handle: RePEc:wbk:wbpubs:15118
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    References listed on IDEAS

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    1. Rudiger Dornbusch & Sebastian Edwards, 1991. "The Macroeconomics of Populism in Latin America," NBER Books, National Bureau of Economic Research, Inc, number dorn91-1.
    2. Juan J. Dolado & Miguel Sebastián & Javier Vallés, 1993. "Ciclical patterns of the spanish economy," Investigaciones Economicas, Fundación SEPI, vol. 17(3), pages 445-473, September.
    3. Treisman, Daniel, 2000. "The causes of corruption: a cross-national study," Journal of Public Economics, Elsevier, vol. 76(3), pages 399-457, June.
    4. Marijn Verhoeven & Mr. Sanjeev Gupta & Mr. Erwin H Tiongson, 1999. "Does Higher Government Spending Buy Better Results in Education and Health Care?," IMF Working Papers 1999/021, International Monetary Fund.
    5. Gonzalez, Christian Y. & Rosenblatt, David & Webb, Steven B., 2002. "Stabilizing intergovernmental transfers in Latin America : a complement to national/subnational fiscal rules?," Policy Research Working Paper Series 2869, The World Bank.
    6. Mr. Robert P. Hagemann, 1999. "The Structural Budget Balance The IMF’s Methodology," IMF Working Papers 1999/095, International Monetary Fund.
    7. Claude Giorno & Pete Richardson & Deborah Roseveare & Paul van den Noord, 1995. "Estimating Potential Output, Output Gaps and Structural Budget Balances," OECD Economics Department Working Papers 152, OECD Publishing.
    8. World Bank, 2001. "Peru : Country Financial Accountability Assessment," World Bank Publications - Reports 15284, The World Bank Group.
    9. Rudiger Dornbusch & Sebastian Edwards, 1991. "The Macroeconomics of Populism," NBER Chapters, in: The Macroeconomics of Populism in Latin America, pages 7-13, National Bureau of Economic Research, Inc.
    10. Jun Ma & Hana Polackova, 2002. "Monitoring Fiscal Risks of Subnational Governments," World Bank Publications - Reports 11355, The World Bank Group.
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    Cited by:

    1. Norman V. Loayza & Jamele Rigolini & Oscar Calvo-González, 2014. "More Than You Can Handle: Decentralization and Spending Ability of Peruvian Municipalities," Economics and Politics, Wiley Blackwell, vol. 26(1), pages 56-78, March.
    2. Loayza, Norman & Rigolini, Jamele, 2016. "The Local Impact of Mining on Poverty and Inequality: Evidence from the Commodity Boom in Peru," World Development, Elsevier, vol. 84(C), pages 219-234.
    3. Stuti Khemani, 2010. "Decentralization by Politicians: Creation of Grants-financed Local Jurisdictions," Chapters, in: Núria Bosch & Marta Espasa & Albert Solé Ollé (ed.), The Political Economy of Inter-Regional Fiscal Flows, chapter 9, Edward Elgar Publishing.
    4. Loayza, Norman & Mier y Teran, Alfredo & Rigolini, Jamele, 2013. "Poverty, Inequality, and the Local Natural Resource Curse," IZA Discussion Papers 7226, Institute of Labor Economics (IZA).

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