On 22 January 2019, France and Germany signed the Treaty of Aachen, which – among other things – foresees a stronger coordination and cooperation in the field of development policy. Against the backdrop of the Agenda 2030, the need for collective action has rarely been higher. Yet, although...

"Aid is expected to promote better living standards by raising investment and growth. But aid may also affect institutions directly. In theory, these effects may or may not work in the same direction as those on investment. The authors examine the effect of aid on economic institutions and find...

"The authors examine the empirical evidence in support of the poverty trap view of underdevelopment. They calibrate simple aggregate growth models in which poverty traps can arise due to either low saving or low technology at low levels of development. They then use these models to assess the...