dc.contributor.author |
Burnside, A Craig |
|
dc.contributor.author |
Dollar, David |
|
dc.date.accessioned |
2010-03-09T15:41:51Z |
|
dc.date.available |
2010-03-09T15:41:51Z |
|
dc.date.issued |
2004 |
|
dc.identifier.uri |
https://hdl.handle.net/10161/2032 |
|
dc.description.abstract |
Burnside and Dollar revisit the relationship between aid and growth using a new data
set focusing on the 1990s. The evidence supports the view that the impact of aid depends
on the quality of state institutions and policies. The authors use an overall measure
of institutions and policies popular in the empirical growth literature. The interaction
of aid and institutional quality has a robust positive relationship with growth that
is strongest in instrumental variable regressions. There is no support for the competing
hypothesis that aid has the same positive effect everywhere. The authors also show
that in the 1990s the allocation of aid to low-income countries favored those with
better institutional quality. This "selectivity" is sensible if aid in fact is more
productive in sound institutional and policy environments. The cross-country evidence
on aid effectiveness is supported by other types of information as well: case studies,
project-level evidence, and opinion polls support the view that corrupt institutions
and weak policies limit the impact of financial assistance for development. This paper
- a product of the Development Economics Vice Presidency - is part of a larger effort
in the Bank to research aid effectiveness.
|
|
dc.format.extent |
346280 bytes |
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dc.format.mimetype |
application/pdf |
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dc.language.iso |
en_US |
|
dc.publisher |
SSRN eLibrary |
|
dc.subject |
Economic growth |
|
dc.subject |
foreign aid |
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dc.title |
Aid, Policies, and Growth: Revisiting the Evidence |
|
dc.type |
Journal article |
|
duke.contributor.id |
Burnside, A Craig|0331721 |
|