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    Forget the Weights, Who gets the Benefits? How to Bring a Poverty Focus to the Economic Analysis of Projects

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    Publication date
    1999-06
    Author
    Potts, David J.
    Keyword
    Cost benefit analysis; Distribution analysis; Distribution weights; Latvia
    Peer-Reviewed
    Yes
    
    Metadata
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    Abstract
    This paper examines the way in which the distributional impact of projects has been treated in the cost±bene®t analysis literature. It is suggested that excessive emphasis has been given to the estimation of distribution weights in the context of single ®gure measures of project worth and that more attention should be paid to estimation of the distribution e ects themselves. If projects really are to have some impact on poverty it is important that some attempt is made to measure what that impact is. Such an attempt requires both systematic measurement of direct income e ects as well as the possibility of measuring indirect e ects where these are expected to be important. An approach is suggested in which direct measurement of income e ects can be adjusted using shadow price estimates to determine indirect income e ects. The approach is illustrated with the example of a district heating project in the Republic of Latvia.
    URI
    http://hdl.handle.net/10454/13226
    Version
    No full-text in the repository
    Citation
    Potts D (1999) Forget the Weights, Who gets the Benefits? How to Bring a Poverty Focus to the Economic Analysis of Projects. Journal of International Development. 11(4): 581-595.
    Link to publisher’s version
    https://doi.org/10.1002/(SICI)1099-1328(199906)11:4<581::AID-JID597>3.0.CO;2-J
    Type
    Article
    Collections
    Social Sciences Publications

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