Distributional impact of public expenditure on human development in Nigeria

Lie

et al. 2022

iijse

The purpose of this research is to achieve success in the development process carried out by local and central governments, of course, as the right regulators in economic activities. Success in building HDI is largely determined by the full commitment of the government as a provider of facilities and infrastructure and fully understands that to achieve a modern economy, the quality of life of human resources must be improved. This research was carried out on the problems that occurred in several regions in Indonesia, the existence of inequality in both economic growth and human quality development in the western and eastern regions of Indonesia, a more visible phenomenon is that in several regions of Indonesia there has been looped economic growth and looped human development. This type of research is quantitative research, the subjects in this study are all provinces in Indonesia. The type of data used is secondary data using panel data from 34 provinces during 2015–2019. Data collection techniques were used observation and documentation. The data analysis technique is simultaneous analysis. The results of this research show that variables of education, government spending on education, economic growth, and poverty together have a significant influence on human development.

Section: Table 4 Multiple Estimation Resultssupporting

confidence: 67%

How Determinants of the Human Development Index Impact Indonesia

Lie

et al. 2022

iijse

“…The findings states that the increase in construction industry is positively associated with the HDI but not the income dimension. Edeme, Nkalu, and Ifelunini (2017) conducted study about HDI. The results indicate that government spending on different heads including health, agriculture, education, water resources, and rural development bring positive influence on HDI.…”

Section: Literature Reviewmentioning

confidence: 99%

Government Spending on Education, Health, and Minimum Wages as Predictors of Human Development Index: Study of Selected Provinces of Indonesia

Widodo

Irawan

Oktavianti

et al. 2020

Int. j. adv. economics

The study objective was to test the influence of three factors namely government spending on education, health, and minimum wages on human development index in five selected provinces of Indonesia. The method of analysis is the Panel-data based analysis covering the time period of 2007 to 2016. The study is focused towards five selected provinces in Indonesia including Bangka Belitung, Lampung, Bengkulu, South Sumatra, and Jambi. The results show that government spending on education and health bring positive but insignificant effects on human development index; whereas, minimum wages turned out to be positive and significantly influencing human development index. Overall the HDI average is not much different and there is no discrepancy between provinces in Southern Sumatra from the range of 68 percent to 70 percent. However, of the five provinces in Southern Sumatra, there are two provinces with higher HDI figures than the others, namely Jambi Province and Bangka Belitung Province.

“…According to Patternosro, Rajaram and Tiogson (2007), public expenditure affects human development through its compositions or structure. A study by Edeme, Nkalu & Ifelunini (2017), provide evidence that apart from its distributional impact, an increase in public expenditure improves the level of human development, all things being equal, since improved human development leads to healthier life and greater life expectancy. Apart from expenditure on the different sectors, the composition of such spending also affects human development.…”

Section: Introductionmentioning

confidence: 99%

Public expenditure and human development in Nigeria in the last decade, composition and distributional impacts

Edeme

Nkalu

2019

Econ Bus Lett

Self Cite

Beyond the country-level impact, this study evaluates public expenditure in Nigeria in the last decade based on composition and distributional impacts on human development at the state-level considering education, health, agriculture and rural development water resources energy, housing and environmental protection. Using data generated from 20 states from 2007-2017, the empirical analysis indicates that the efficacy of education, health, agriculture and rural development and water resources in improving human development is greater than that of energy, housing and environmental protection expenditure. More interestingly, the positive effect of capital expenditure is mitigated by increased recurrent expenditure. The combination of these factors strongly reduces the capability of public expenditure to foster human development. Based on the distributional impact assessment model, education, health, agriculture and rural development and water resources has positive marginal impact while energy, housing and environmental protection has negative marginal impact. Together, these results further advance the case for improving expenditure on the components and sectors that enhances human development. In other words, the public policy plays a great role in human development expenditure in Nigeria.