Comparing aid flows in the 1990s with those from the 1970s make it clear that there are now many more countries receiving what may be termed "high aid" (say in excess of 30 percent of GNP) and that there has emerged a group of countries receiving very high aid. Whilst never formally considered...

This paper evaluates the trade-off between growth and welfare maximization from two perspectives. Firstly, it synthesizes and extends endogenous growth models with public finance to compare the growth and welfare maximizing tax rates. Secondly, it examines the distinct model outcomes in terms of...