Poverty is a multifaceted phenomenon that goes beyond lack of adequate income. The overarching objective of development in many countries has been and continues to be the eradication of all facets of poverty. Rapid as well as well equitable growth in income has always been viewed as aninstrument...

In a report presented at the UN Conference on Financing for Development in March 2002, the World Bank claims that the effectiveness of its financial aid has improved substantially by targeting aid at poor developing countries pursuing sound economic policies. However, the World Bank's success...

The article criticizes the World Bank as overy optimistic concerning its ability to raise the effectiveness of aid by concentrating aid on countries with ""good"" policies. It is shown that aid flows to the main recipient regions yielded the highest correlation to growth when their magnitudes...