Special PEP-AusAID research initiative to “Simulate the Distributive Impacts of Different Growth Strategies” in Asia


Governments encourage growth through various policies: infrastructure, education, training, health, agricultural extension, trade, etc. Each strategy has wide-ranging impacts on the entire economy - sectoral production, wages and other factor returns, consumer prices, public finances, etc. - with very different distributive consequences and welfare impacts for the concerned populations.

In 2010, PEP was commissioned by the Australian Agency for International Development (AusAID) to lead small teams of local researchers in a special research initiative that aimed to analyze such interactions and consequences in different countries – China, Pakistan and the Philippines. By building these "motors of growth" into country-specific economy-wide models linked to household survey-based microsimulation models, the researchers simulate the distributive impacts of infrastructure investments and alternative financing mechanisms, and provide insights on accompanying policies to allow greater participation by the poor.

The project has been carried out in collaboration with an international coordinating team of experienced researchers in macro and micro-modeling techniques, whose contributions in terms of methodological developments are also expected to serve internationally as a new resource for both researchers and decision-makers to assist in related policymaking.

The following report provides a brief summary of the initiative and the main outcomes from each country project to date: "Investing in Public Infrastructure: An Effective Inclusive Growth Strategy?"


In 2013, the outcomes of the different components of this initiative were compiled and published as a book, which you may find and download here, free of charge

Infrastructure and Economic Growth in Asia

Editors: John Cockburn, Yazid Dissou, Jean-Yves Duclos, Luca Tiberti
ISBN: 978-3-319-03136-1 (Print) 978-3-319-03137-8 (Online)

Published by Springer International Publishing, as part of the series "Economic Studies in Inequality, Social Exclusion and Well-being".

Find out, also, how each of the different country studies’ findings have been communicated to inform both national and international policy debates, particularly on the role of public infrastructure in economic growth and poverty reduction, through this report:

PEP-AusAID Growth initiative - Policy outreach

Find more information on the outcomes of each of the country projects through the following links and publications:


Funded by