Assessing the Impact of Fiscal Policy on Poverty

Andy McKay

Working Papers from eSocialSciences

Abstract: Fiscal policy measures are a key means by which governments can influence distribution and poverty, but in fact the relationships between fiscal policy and poverty are not well understood. The most commonly used technique for assessing the distributional impact, benefit incidence analysis, is straightforward, but applied by itself it suffers from a number of serious limitations. Assessment of the impact of fiscal policy needs to be developed in various directions, including allowing for behavioural responses and incorporating a broader range of information. In parallel with this careful attention needs to be paid to more effective monitoring of the poverty impact of fiscal policy. [Discussion Paper No. 2002/43].

Keywords: fiscal policy; poverty; benefit incidence analysis; transitional economies; behavioural responses; governments; distribution; distributional analysis; developed; information; developing; economic; social policy; environmentally sustainable growth (search for similar items in EconPapers)
Date: 2009-10
New Economics Papers: this item is included in nep-fdg
Note: Institutional Papers
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