This paper investigates the impact of exchange rates on US Foreign Direct Investment (FDI)inflows to a sample of 16 emerging market countries using panel data for the period 1990-2002. Threevariables are used to capture separate exchange rate effects. The nominal bilateral exchange rate tothe...

Public choice analysts have often argued that the level of government spending willreflect voter-taxpayer’s demand for public goods, while the fiscal illusion literature hasargued that certain features of the tax structure affect voter’s perceptions of their taxburden causing them to...

This book considers the impact of economic reforms on manufacturing performance and explores policy options for promoting manufacturing. Using country-specific case studies spanning Africa, South Asia, South East Asia and Latin America, the authors examine the evidence for and against both trade...

Aid conditionality refers to the practice of donors attaching conditions to enhance the effectiveness of aid. The donor's prime objective is to reduce poverty, but recipients want to divert some of the aid to elites. This gives rise to two problems: adverse selection (aid does not go to the...