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to changes in poverty and policy selectivity. To answer these questions a formal approach is used to quantify the effects … of four factors that influence aid allocation: poverty, policy, proximity and population. The results reaffirm findings … or growing policy sensitivity. -- Aid Allocation ; Policy Selectivity ; Poverty Selectivity ; Two-Part Model …
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This paper makes two main contributions. First, we examine the long-run effect of foreign aid on domestic output for 59 developing countries using heterogeneous panel cointegration techniques to control for omitted variable and endogeneity bias to detect possible cross-country differences in the...
Persistent link: https://www.econbiz.de/10003867812
In the study "Do elites benefit from democracy and foreign aid in developing countries" (Journal of Development Economics, 2009) Bjørnskov asks if political elites benefit from foreign aid relative to the rest of the population. He concludes that his results provide qualified support for the...
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During recent years, new doubts about the effectiveness of international aid have emerged. One of the arguments employed to justify this sceptical view is that aid can hinder tax effort in developing countries. Nevertheless, empirical research on the aid-tax nexus is inconclusive and it shows...
Persistent link: https://www.econbiz.de/10009158708
The link between foreign aid and economic growth remains a controversial issue in the literature, and a large share of the disagreement could be explained by differences in the data employed. Using GDP data from three different versions of the Penn World Table and the World Development...
Persistent link: https://www.econbiz.de/10011375893
environment for poverty reduction, and identifies where donor effort and influence are most likely to be effective. An … process, is already benefiting from HIPC debt relief and has achieved significant reductions in poverty. Tanzania has recently … less successful in devising a poverty reduction strategy. The paper argues that the elements of debt relief conditionality …
Persistent link: https://www.econbiz.de/10011532909
This paper provides a critical analysis of the growth regressions in Burnside and Dollar (2000). First, we analyze the relation between aid and government expenditure in a modified neoclassical growth model. We find that while good policies spur growth they may at the same time lead to...
Persistent link: https://www.econbiz.de/10011532941