## Expenditure Issues and Governance in Central America

_IMF Working Papers, November 1, 2002_

## Source details

**Canonical URL:** [Expenditure Issues and Governance in Central America](https://www.imf.org/en/publications/wp/issues/2016/12/30/expenditure-issues-and-governance-in-central-america-16120)

## Other formats

- [Markdown version](/en/publications/wp/issues/2016/12/30/expenditure-issues-and-governance-in-central-america-16120/index.md)
- [Structured JSON version](/en/publications/wp/issues/2016/12/30/expenditure-issues-and-governance-in-central-america-16120/index.json)
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## Bibliographic details
- Authors: Ana Corbacho, Hamid R Davoodi
- Published: November 1, 2002
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451859522.001

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### Summary
- This paper analyzes Central America's track record on inequality, poverty, and quality of fiscal adjustment in relation to:
  - economic growth;
  - health and education outcomes;
  - adequacy of social safety nets;
  - governance.
- It assesses the degree to which the track record can be traced to reforms in public expenditure and governance.
- Despite considerable heterogeneity among the countries in the region, there are some policies that all countries need to pursue: sustained growth, better quality of fiscal adjustment, policies aimed at increasing individuals' productivity, and improving governance.

### Key findings and themes
- The analysis links inequality, poverty, and the quality of fiscal adjustment to outcomes in growth, health, education, social safety nets, and governance.
- Public expenditure and governance reforms are assessed as determinants of the region’s track record on these social and fiscal outcomes.
- Heterogeneity across Central American countries is emphasized; nevertheless, common policy priorities are identified.

### Policy recommendations (high-level)
- Pursue sustained economic growth.
- Improve the quality of fiscal adjustment.
- Implement policies aimed at increasing individuals' productivity.
- Strengthen governance.

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## Content in this bundle

- **Expenditure Issues and Governance in Central America - WP/02/187**
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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/30/expenditure-issues-and-governance-in-central-america-16120_