Bookmark and Share
Print Print

Twin peaks planet

January 1, 2015

In 2014, soaring inequality in advanced nations finally received the attention it deserved, as Thomas Piketty’s “Capital in the Twenty-First Century” became a surprise (and deserving) best seller. The usual suspects are still in well-paid denial, but, to everyone else, it is now obvious that income and wealth are more concentrated at the very top than they have been since the Gilded Age — and the trend shows no sign of letting up. Read the rest of this entry »

Bookmark and Share
Print Print

Government spending and inclusive growth in developing asia

December 8, 2014

Publication Date
11-2014

Abstract
This paper assesses the effects of fiscal policy on both equity and growth, specifically whether it is possible to design fiscal spending so that it enhances equity without sacrificing economic growth and vice versa. A cross-country panel vector autoregression (PVAR) using the World Development Indicators confirms the growth effects of individual fiscal spending items as anticipated whereas distributional effects were either temporarily positive or negligible for most fiscal items. However, compared with Organisation for Economic Co-operation and Development members, spending on public health and public education appeared to alleviate income inequality significantly in the Asian Development Bank members. This implies that fiscal expenditure policies may contribute more to inclusive growth in developing economies than in advanced ones.

Comments
Suggested Citation
Hur, S. (2014). Government spending and inclusive growth in developing Asia. Manila: Asian Development Bank.
Required Publisher’s Statement
This article was first published by the Asian Development Bank (www.adb.org).

Digital copy here http://digitalcommons.ilr.cornell.edu/cgi/viewcontent.cgi?article=1415&context=intl

Bookmark and Share
Print Print

The costs and benefits of Pantawid Pamilya

December 3, 2014

There is growing evidence showing positive outcomes for the government’s conditional cash transfer

The Pantawid Pamilyang Pilipino Program (4Ps), the government’s conditional cash transfer (CCT), has come into scrutiny by legislators with significant resources proposed for it next year. From P4 million in 2007 to support 6,000 households, the 2014 budget was P62.6 billion to assist 4 million households, and will even grow next year with the extension of support to children in high school. Read the rest of this entry »

Bookmark and Share
Print Print

Wanted in the 2016 polls: A leader for sustained and inclusive growth

November 20, 2014

THERE is now a consensus among Filipino and foreign economists that the Philippines has shifted to a higher growth level of 6 percent to 6.5 percent. Ceteris paribus, or all other things being equal, we expect this trend path of the economy to continue for the next six to eight years, encompassing the period of the next administration. The chart below shows this trajectory to a higher level of growth for the Philippine economy. While we experienced a moderate economic expansion of 4.63 percent during the presidency of Gloria Macapagal-Arroyo, it was only recently (2010 to 2013) that the country experienced an average annual gross domestic product (GDP) growth of 6.12 percent. Read the rest of this entry »

Bookmark and Share
Print Print

Why inequality is 2015’s most worrying trend

November 7, 2014

Inequality is one of the key challenges of our time. Income inequality specifically is one of the most visible aspects of a broader and more complex issue, one that entails inequality of opportunity and extends to gender, ethnicity, disability, and age, among others. Ranking second in last year’s Outlook, it was identified as the most significant trend of 2015 by our Network’s experts. This affects all countries around the world. In developed and developing countries alike, the poorest half of the population often controls less than 10% of its wealth. This is a universal challenge that the whole world must address. Read the rest of this entry »

Bookmark and Share
Print Print

No inclusivity yet

November 1, 2014

In the phrase “inclusive growth,” the key word is “inclusive,” not “growth.” Unless economic growth is inclusive, meaning that it benefits the lower classes, let us not make so much propaganda about it. Read the rest of this entry »

Bookmark and Share
Print Print

Why the U.S. is losing the global fight for gender equality

October 27, 2014

America ranks high globally in economic opportunities for women, according to a new index. But the country lags behind in other key areas like political leadership.

The gap in economic opportunity between American men and women is narrowing, but the U.S. still can’t seem to get ahead in the global race for equality. Read the rest of this entry »

Bookmark and Share
Print Print

DSWD: CCT funds for 2015 only P429 M, not P4.2 B

October 25, 2014

MANILA, Philippines – The Department of Social Welfare and Development (DSWD) yesterday clarified their proposed monitoring and evaluation of the conditional cash transfer (CCT) program for next year was only P429.2 million, and not P4.2 billion. Read the rest of this entry »

Bookmark and Share
Print Print

Yellen sounds alarm on widening inequality

October 20, 2014

WASHINGTON – Federal Reserve Chair Janet Yellen sounded an alarm Friday about widening economic inequality in the United States, suggesting that America’s longstanding identity as a land of opportunity was at stake. Read the rest of this entry »

Bookmark and Share
Print Print

PH wealth gap seen narrowing

October 16, 2014

But gulf between rich and poor remains wide, says Credit Suisse

MANILA, Philippines–The gap between rich and poor Filipinos remains wide even as wealth inequality in the country has been rapidly declining in recent years, according Credit Suisse Group. Read the rest of this entry »