Quarterly Journal of Quantitative Economics (JQE)

Analyzing the World Bank's Economic Model: "Medium Term Expenditure Framework" in Realizing Economic and Social Rights with an Emphasis on its Implementation Experiences in Selected Countries

https://doi.org/10.22055/jqe.2019.29189.2067
Volume 17, Issue 2 - Serial Number 65
Vol. 17, No. 2, Summer 2020
Spring 2020
Pages 123-148
Quarterly Journal of Quantitative Economics (JQE)

Document Type : Article-Based Dissertations

Authors

Ebrahim Molaeijam 1
Tavakol Habibzadeh 2
Majid Feshari 3

1 PhD Student of International Law, Islamic Azad University of Central Tehran Branch, Faculty of Law, Tehran, Iran.

2 Associate Professor of Emam Sadegh University, Tehran, Iran

3 Assistant Professor of Kharazmi University, Tehran, Iran

Abstract
Non-realization of socio-economic rights and the severe poverty affecting the human society at global, regional, national and local levels stem from the lack of optimal economic decision-making. Accordingly, this issue has been raised in the United Nation's Chart implying that the achievement of economic and social development needs international community measures. In this regard, the economic model known as Medium Term Expenditure Framework has been proposed by the World Bank, as one of the international organizations active in the field of economic policy, which, based on its own goals and the UN Charter's objectives, pursues economic, social and financial rights and development of countries through financial management reform of the public sector considering that based on international human rights instruments economic and social rights are included in "positive", "cost-effective", "opportunity-dependent", "gradual" and "programmatic" commitments. Since the way it is realized requires "planning" and "allocation of financial resources", the implementation of this right is made operational through the "government's financial program" mechanisms.
     This model has been implemented with the support of the World Bank in more than 130 countries around the world. The purpose of the present study is, first, to determine which international law sources this economic model corresponds with, and, second, to explain the results from the implementation of this model in developed and developing countries and the realization of economic and social rights in form of a descriptive analysis method using library resources.
     The results of the study indicate that legally considered, the World Bank's economic model (Medium Term Expenditure Framework) can be evaluated as an embodiment of "Soft  Law" within the framework of the UN Declaration on Right to Development. However, governments are obliged to respect it based on the normative order of human rights as poverty is contrary to human rights and it violates human dignity. To realize this, several preconditions should be met, which include adopting sound and transparent economic policies, appropriate public investment and comprehensive development, especially in matters related to education, health, infrastructure, agricultural development, creation of more opportunities for decent work, proper management of administrative affairs, etc., all of which are dependent on governments to properly manage public resources.
Medium Term Expenditure Framework has also been focused by countries as a tool to improve financial performance. In the meantime, this economic model creates a communicative framework between the two components of policy and planning with the "government financial plan", while most of the models presented in relation to the government's financial plan do not have this communication system. Therefore, the implementation of this model by countries results in the systematization of political power in directing public resources, on the one hand, and achieving good governance, on the other hand, in line with ultimate international law, thereby providing for the excellent objectives of human rights documents with respect to economic and social rights.

Keywords

social and economic rights
medium-term expenditure framework
the Right to Development
World Bank

-     Annan, K. A. (2005). In larger freedom: towards development, security and human rights for all.‏## Brumby, J., Biletska, N., Grigoli, F., Hemming, R., Kang, Y. K., Lee, J. W., & Verhoeven, M. (2013). Beyond the annual budget: global experience with medium-term expenditure frameworks.‏ ##Bruntland, G. H. (1987). World commission on environment and development. Our common future, 17, 43-66.‏ ##Choi, J. Y., & Park, N. (2013). Achieving medium term expenditure framework reform: A case study of Korea. The World Bank.‏ ##Elias, T.O. (1972). Modern Sources of international law, intransnational law in changing society, Colombia University press. ##Farzaneh, Y. (2015), The Humanization of International Law in the Lights of Responsibility of Protect, Tehran: Mizan Publications. (In Persian) ##Grigoli, F. (2011). Essays on development economics (Doctoral dissertation, Università degli Studi dell'Insubria). ##Holmes, M., & Evans, A. (2003). A review of experience in implementing Medium Term Expenditure Frameworks in a PRSP context: a synthesis of eight country studies. London: Overseas Development Institute.‏ ##Naderi, A. (2014). Education and Economic Growth in Iran: A Fundamental Evaluation of the Effects of Theoretical and Methodological Challenges, the Journal of Planning and Budgeting, 19 (3), 93-130. (In Persian) ##Nguyen, L. T. N. (2012). Medium-Term Expenditure Frameworks: The Application of Medium-Term Expenditure Framework for Budgeting in Sonla Province of Vietnam (Master's thesis).‏ ##Pieters, D. (2006), Social Security: an Introduction to the Basic Principles, Translated by Firrozimandy, F. & Ahmadi, S., Institute of Legal Studies and Research, Danesh City, Tehran. (In Persian) ##Rahmangholizadeh, E (2012), Budgeting system in Iran, Tehran: Chapar Publications. (In Persian) ##Report of the Secretary-General on globalization and its impact on the Full enjoyment of all human rights, 2000, retrieved, on 24 January 2019, http://www. UN. Org/documents/ga/docs/55/a55342. pdf##Review of Public Expenditure Management in Sub-Saharan Africa, March (2007) ##Schermers, H. G. (1983). International organizations as members of other international organizations.‏ ##Schermers, H. G., & Blocker, N. (2001). Intenational situtional law, 3rd.ed.rev. The Hague, nijh off. ##Schick, A. (1998). A Contemporary Approach to Public Expenditure Management, World Bank Institute. ##Schrijver, Nico J., & Friedl Weiss. (2004). International law and sustainable development: principles and practice. Vol. 51. Martinus Nijhoff Publishers. ##Sengupta, A., Negi, A., & Basu, M. (Eds.). (2005). Reflections on the Right to Development. Sage.‏ ##Session, S. W. (1987). World commission on environment and development. Our Common Future; WCED, Ed.; Oxford University Press: Oxford, UK.‏ ##Simma, B. (Ed.). (1995). The charter of the United Nations. OUP.‏ ##Stokke, H., & Tostensen, A. (1999). Human rights in development yearbook 1998: Global perspectives and local issues. Martinus Nijhoff Publishers.‏ ##The World Bank and Korea Development Institute Conference Proceedings (March 2004) 57, p.85—92##United Nations Declaration on the Right to Development, Article 1, Retrived on2 january 2019 from:http://www.ipu.org/splz-e/unga14/rtd.pdf##Vijeh, M. R. Ketabi Roudi, A. (2018), Developing the Social Security Rights in the Context of the Right to Development, Journal of Iranian Social Development Studies, 10 (1), 7-23. (In Persian) ##Williamson Gray, C. World Bank. Poverty Reduction, & Economic Management. (1998). Public expenditure management handbook. World Bank Publications.‏ ##Ziai Bigdeli, M. R. (2007), Public International Law, Tehran: Gangedanesh Publications. (In Persian) ##

  • Receive Date 17 April 2019
  • Revise Date 23 August 2019
  • Accept Date 25 August 2019
  • First Publish Date 21 June 2020
  • Publish Date 21 June 2020

Home

News

Guide for Authors

Submit Manuscript

Contact Us