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The Economics of the Global Response to HIV/AIDS$
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Markus Haacker

Print publication date: 2016

Print ISBN-13: 9780198718048

Published to Oxford Scholarship Online: August 2016

DOI: 10.1093/acprof:oso/9780198718048.001.0001

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Sustainable Domestic Financing

Sustainable Domestic Financing

(p.200) 11 Sustainable Domestic Financing
The Economics of the Global Response to HIV/AIDS

Markus Haacker

Oxford University Press

This chapter develops a fiscal perspective on HIV/AIDS financing, placing the spending needs under the HIV/AIDS response in the context of competing policy objectives. It discusses the consistency of the HIV/AIDS programme with fiscal sustainability, interpreting the costs of the HIV/AIDS response as a fiscal quasi-liability. Some ongoing work on improving the efficiency of the delivery of HIV/AIDS services is reviewed—from the fiscal perspective developed here, realizing such efficiency gains does not only serve to reduce spending needs, but also to place HIV/AIDS interventions higher on the government’s pecking order. Three options for financing additional domestic HIV/AIDS spending are discussed—cutting expenditures in other areas (or having them grow more slowly than otherwise), additional taxes, and borrowing.

Keywords:   HIV/AIDS, programme design, domestic financing, fiscal policy, cost-effectiveness, fiscal sustainability, taxes, borrowing

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