Determinants of government consumption expenditure in developing countries : a panel data analysis

The paper focuses on the recent pattern of government consumption expenditure in developing countries and estimates the determinants which have influenced government expenditure. Using a panel data set for 111 developing countries from 1984 to 2004, this study finds evidence that political and institutional variables as well as governance variables significantly influence government expenditure. Among other results, the paper finds new evidence of Wagner's law which states that peoples' demand for service and willingness to pay is income-elastic hence the expansion of public economy is influenced by the greater economic affluence of a nation (Cameron1978). Corruption is found to be influential in explaining the public expenditure of developing countries. On the contrary, size of the economy and fractionalization are found to have significant negative association with government expenditure. In addition, the study finds evidence that public expenditure significantly shrinks under military dictatorship compared with other form of governance.

Impacts of solar lanterns in geographically challenged locations : experimental evidence from Bangladesh

Despite continuous efforts to improve the coverage, the access to electricity remains insufficient in many developing countries, particularly in geographically challenged locations, due mostly to the high cost of grid extension. To rigorously investigate the effectiveness of solar products as an alternative in remote areas, we conducted a randomized controlled trial in river islands of northern Bangladesh where no grid-based electricity is available. We found that solar lanterns significantly increased home study hours among schooled children, especially in the night and before exams. School attendance rate also initially increases due to the provision of solar lamps, although such effects fade away over time. The increased study time and initial school attendance rate, however, did not improve children's exam results. We also found marginal improvements on health-related indicators, such as eye redness and irritation, but negligible impacts on respiratory indicators. Households that received solar lanterns substituted the traditional lighting sources with modern technology, leading to a significant decrease in annual biomass fuel consumptions, particularly kerosene. Finally, treated households showed a greater self-reported willingness to purchase solar products compared with the control group.