Allcott, HuntLederman, DanielLópez, Ramón2012-06-212012-06-212006-04https://hdl.handle.net/10986/8689This paper brings together the literatures on the political economy of public expenditures and the determinants of economic growth. Based on a new dataset of rural public expenditures in a panel of Latin American economies, the econometric evidence suggests that non-social subsidies reduce agricultural GDP. Furthermore, the evidence suggests that political and institutional factors as well as income inequality are determinants of the size and structure of rural public expenditures, through which they have large and significant effects on agricultural GDP.CC BY 3.0 IGOABSOLUTE VALUEACCOUNTABILITYAGRICULTURAL GROWTHAGRICULTURAL OUTPUTAGRICULTURAL PRODUCTIONAGRICULTURAL SECTORAGRICULTUREALLOCATIONAVERAGE TAX RATESBALANCE OF PAYMENTSBUDGET CYCLEBUSINESS CYCLESCAPITAL EXPENDITURESCETERIS PARIBUSCOLLECTIVE ACTIONCOMMODITY PRICESCOMPARATIVE POLITICAL ECONOMYCOMPOSITION OF EXPENDITURESCONVICTIONCORRUPTION IN GOVERNMENTCOUNTRY REGRESSIONSDATA COLLECTIONDEFENSE EXPENDITURESDEMOCRACYDEPENDENT VARIABLEDESCRIPTIVE STATISTICSDEVELOPING COUNTRIESDISTRIBUTION OF WEALTHECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC INEQUALITYECONOMIC LITERATUREECONOMIC PERFORMANCEECONOMIC POLICYECONOMIC POWERECONOMIC THEORYECONOMIC UNCERTAINTYECONOMICS RESEARCHEDUCATION EXPENDITURESEFFECTIVENESS OF GOVERNMENTELASTICITIESEMPIRICAL EVIDENCEEMPIRICAL LITERATUREEMPIRICAL MODELEMPIRICAL MODELSEMPIRICAL STUDIESENDOGENOUS VARIABLESESTIMATED COEFFICIENTSEXPENDITURE DATAEXPENDITURE LEVELEXPENDITURE OUTCOMESEXPLANATORY VARIABLESEXPORT SUBSIDIESEXTERNALITIESFACTOR ENDOWMENTSFINANCIAL CRISESFINANCIAL SUPPORTFISCAL EXPENDITURESFISCAL POLICYFIXED EFFECTSGDPGDP PER CAPITAGINI INDEXGOVERNMENT EXPENDITURESGOVERNMENT INTERVENTIONSGOVERNMENT SPENDINGGOVERNMENT SUBSIDYGROSS DOMESTIC PRODUCTGROWTH LITERATUREGROWTH RATEGROWTH REGRESSIONSGROWTH THEORYHEALTH CAREINCOME DISTRIBUTIONINCOME INEQUALITYINCREASE GROWTHINSURANCELABOR FORCELAGGED DEPENDENTLATIN AMERICANLOCAL GOVERNMENTSMACROECONOMIC SHOCKSMARKET FAILURESMONETARY ECONOMICSNATIONAL INCOMENEGATIVE EFFECTPOLICY CHANGESPOLICY ISSUESPOLICY MAKERSPOLICY RESEARCHPOLITICAL ECONOMYPOLITICAL INSTITUTIONSPOLITICAL STABILITYPOLITICIANSPOVERTY RATESPRICE INDEXPRIVATE GOODSPRIVATE INVESTMENTPRIVATE SECTORPRODUCTION FUNCTIONPROGRAMSPROPERTY RIGHTSPROPORTIONAL SYSTEMSPUBLICPUBLIC ECONOMICSPUBLIC EXPENDITUREPUBLIC EXPENDITURE PATTERNSPUBLIC EXPENDITURESPUBLIC FINANCEPUBLIC GOODPUBLIC GOODSPUBLIC POLICIESPUBLIC REVENUESPUBLIC SERVICESRELATIVE PRICESRESOURCE ALLOCATIONRURAL ACTIVITIESRURAL AREASRURAL POVERTYSERIAL CORRELATIONSIZE OF GOVERNMENTSOCIAL EXPENDITURESSOCIAL RETURNSSOCIAL SECURITYSOCIAL SERVICESSOCIAL SPENDINGSTANDARD DEVIATIONSTRUCTURAL CHARACTERISTICSSTRUCTURE OF GOVERNMENTTAXTAX RATESTOTAL EXPENDITURESTRADE OPENNESSTRADE POLICYTYPES OF EXPENDITURESUNEMPLOYMENTUNEQUAL SOCIETYVOTERSWEALTH DISTRIBUTIONWorld Bank10.1596/1813-9450-3902