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Political Business Cycles and Expenditure Policies in Developing Countries
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ISBN: 1462378161 1455256595 1282044478 1455253456 9786613797612 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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Abstract

The paper studies empirically fiscal policies around elections in 35 developing countries. It finds that governments try to improve their reelection prospects with the help of expansionary expenditure policies. Rising fiscal deficits before elections are followed by fiscal consolidation afterwards. These cycles can be found particularly in countries which are less trade-oriented or which pursue fixed exchange rate policies. Certain IMF-supported programs (SAF/ESAF and EFF arrangements) contribute to fiscal stabilization, but they do not appear to affect the incidence of fiscal cycles. The paper concludes that policy advice and macroeconomic projections should not overlook election constraints, and political feasibility of reforms should be strengthened particularly before elections.


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Achy But Healthy : Lessons From the Israeli Health Sector
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ISBN: 146239129X 1455226327 1282109480 9786613802378 145529179X Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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Abstract

Health policy has been for some time high on the agenda of many countries--and where it has not, it should be. Since no ideal model of health services has ever been devised 9 one may look for favorable elements in the health sector of a given country and examine their applicability to other countries. This paper analyzes Israel’s health sector in this context.


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Public Education Expenditure and Other Determinants of Private Investment in the Caribbean
Authors: ---
ISBN: 1462364039 1455229350 1282011995 9786613795946 1455212083 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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This paper presents an analysis of the determinants of private investment in the Caribbean region, using data for the 1977-91 time period. Drawing on the endogenous growth literature, a model is developed to capture the impact of public education expenditure on private sector capital formation. The implications of this model are tested in the context of an econometric model assessing the impact of education and other variables on the share of private investment in GDP. The empirical results reveal that public education outlays, as well as economic growth, have a significant effect on private capital formation. Public investment has a negative effect on private investment, while real interest rates and external debt burdens are found to have no statistically significant impact on private investment.


Book
Core Functional Requirements for Fiscal Management Systems
Authors: ---
ISBN: 146234805X 1455272663 1281990051 1455249343 9786613794482 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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Abstract

This paper presents a framework for planning the development of computerized government budgeting and accounting systems in economies in transition and developing economies. It argues that a comprehensive framework is needed to enable fiscal management issues to be addressed effectively, then outlines a methodology for planning systems development and proposes strategies for implementing the methodology in transitional and developing economies.


Book
The Equity Impact of the Value-Added Tax in Bangladesh
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ISBN: 1462377157 1455239445 1282035355 1455238325 9786613796868 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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This paper investigates the income distributional implications of different value-added tax (VAT) schemes in Bangladesh. The results indicate that a revenue-neutral uniform VAT is regressive in its impact on the income of different households. This paper explores an alternative policy package, consisting of a basic rate of VAT with exemptions for certain commodity groups, chosen on the basis of their distributional characteristics. The welfare consequences of the alternative package are found to be superior to those of the uniform VAT.


Book
El Salvador : Recent Economic Developments.
Authors: ---
ISBN: 1463956657 1463916701 1283570939 1463911424 9786613883384 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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This paper describes economic developments in El Salvador during the 1990s. Since 1990, the government has implemented a major economic reform program, including through a greater reliance on market forces. Although risks remain, financial imbalances have been reduced, economic growth has resumed, and inflation has declined. The government also is modernizing the structure of the public sector, including a reform of public expenditure management. The restructuring of the public finances aims to increase public savings, reorient public expenditure toward increased peace-related expenditure, and increase efficiency in delivering services.


Book
Croatia : Background Notes and Statistical Appendix.
Authors: ---
ISBN: 1455220825 1452771820 1280975229 1463905580 9786613746832 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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This Background Notes paper and Statistical Appendix presents a summary of the Croatian Tax System as of August 1994. The paper discusses the experience with incomes policies in Croatia. It highlights that incomes policy has played an important role in the Croatian stabilization program as the government has pursued the twofold objective of limiting costs in the public sector and of curbing the wage-price spiral. The paper briefly reviews developments in incomes policy and recent developments in real wages. It also describes the social safety net in Croatia.

Poland : The Path to a Market Economy
Authors: --- --- --- --- --- et al.
ISBN: 155775411X 1455252891 145275098X Year: 1994 Volume: 113,1994 Publisher: Washington, D.C. : International Monetary Fund,

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Abstract

Poland's economy rebounded dramatically in 1992-93, several years after the nation embarded on a comprehensive program of economic transformation. This paper describes Polan's steps in the areas of public finance, monetary policy and financial sector reform, trade and exchange rate policy, and microeconomic liberalization, as well as the social impact of transition.


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An Overview of the Japanese Distribution System : The Case of the Automobile Industry
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ISBN: 1462323839 1455205052 1281093009 145527254X 9786613776051 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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This paper surveys the recent literature on the Japanese distribution system to consider two propositions: first, that the system is inefficient, and second that prices of imported products tend to be higher in Japan than in other markets. Most of the literature demonstrates that the system is efficient. However, the efficiency has not necessarily resulted in high social welfare as consumers have had limited access to various product lines or paid high prices for some products. This paper examines the distribution system in the automobile industry to promote understanding about the impacts of the system on price differentials.


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Effects of Macroeconomic Stabilityon Growth, Savings, and Investment in Sub-Saharan Africa : An Empirical Investigation
Authors: --- --- --- ---
ISBN: 1462338844 1455231355 1281238139 9786613777867 1455245364 Year: 1994 Publisher: Washington, D.C. : International Monetary Fund,

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Abstract

The analysis of this paper indicates that the unsatisfactory overall economic performance of sub-Saharan African countries during 1986–93 was due to inappropriate policies pursued by a number of countries. The countries that have pursued broadly appropriate adjustment policies have performed much better, achieving positive per capita GDP growth. The analysis is supported with an econometric investigation of the effects of macroeconomic policies, structural reforms, and exogenous factors on economic performance. The results indicate that progress in achieving macroeconomic stability and implementing structural reforms have been conducive to better growth, savings, and private investment.

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