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The typical identification strategy in aid effectiveness studies assumes donor motives do not influence the impact of aid on growth. We call this homogeneity assumption into question, first constructing a model in which donor motives matter and then testing the assumption empirically. -- Aid ;...
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This paper examines fungibility as a possible explanation for the "missing link" between foreign aid and economic growth. The composition of aid plays a crucial role in determining the composition of government spending and, consequently, the magnitude of fungibility and its impact on growth....
Persistent link: https://www.econbiz.de/10003607741
Various development objectives are worthy, but to my mind, one objective dominates all others: reducing the scourge of absolute economic misery in the world. In this paper, I focus on an important but relatively underemphasized approach to poverty reduction: helping the poor earn more in the...
Persistent link: https://www.econbiz.de/10009696021
The most basic economic theory suggests that rising incomes in developing countries will deter emigration from those countries, an idea that captivates policymakers in international aid and trade diplomacy. A lengthy literature and recent data suggest something quite different: that over the...
Persistent link: https://www.econbiz.de/10010423766
This paper evaluates the effect of development project aid from the World Bank and China on firms' sales growth, using a large dataset of 110864 firms spanning 121 countries between 2001 and 2016. We find that, contrary to the World Bank, Chinese ODA projects increase, on average, firm sales...
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A substantial share of the world's children reside in disaster-prone areas and suffer from stunted growth. Child growth in the first 1000 days of life can falter depending on health endowments and investments. We investigate growth faltering and catch-up in children exposed to comparable...
Persistent link: https://www.econbiz.de/10015077932