Publication: The Quality of Growth: Fiscal Policies for Better Results
Date
2008
ISSN
Published
2008
Author(s)
López, Ramón E.
Thomas, Vinod
Wang, Yan
Abstract
The world faces unprecedented
opportunities to reduce global poverty and improve human
welfare. Strong global growth and better economic policies
in recent years have substantially reduced poverty in many
developing countries. However, with the recent financial
turmoil in the United States and rising prices for food,
oil, and other commodities, the world economy faces
heightened risks and volatility. Policymakers around the
world face the challenge of maintaining momentum in growth,
as well as of improving the quality of growth. This concern
over quality is reflected in the highly uneven reduction in
poverty, rising inequality in numerous countries, and
widening environmental degradation during the past decade, a
period of unprecedented high economic growth in developing
countries. Unless these issues are confronted, gains from
growth are likely to be undermined and the pace of growth,
itself, will not be sustained. Growth is clearly linked to
reductions in poverty. But the strength of this relationship
depends on the quality or nature of growth. Various studies
show that some growth patterns systematically reduce poverty
and inequality, but others do not. And some growth patterns
lead to underinvestment in human capital, overexploitation
of natural resources, and degradation of the environment,
patterns inimical to the sustainability of growth.
Link to Data Set
Citation
“López, Ramón E.; Thomas, Vinod; Wang, Yan. 2008. The Quality of Growth: Fiscal Policies for Better Results. IEG Working Paper;2008/6. © Washington, DC: World Bank. http://hdl.handle.net/10986/28198 License: CC BY 3.0 IGO.”