This paper attempts to reconcile aid-conditionality and recipient country ownership of its development process as mutually compatible ingredients of aid effectiveness. To be effective, aid itself must contribute to the end of aid. For this happen, the recipient government must, in the meantime,...

This dissertation contributes to an increasing literature on macroeconomic instability in developing countries. It makes a critical review of the literature and classifies the sources of instability under exogenous and endogenous factors. It then argues that the impact of exogenous shocks is...

A windfall of natural resource revenue (or foreign aid) faces government with choices of how to manage public debt, investment, and the distribution of funds for consumption, particularly if the windfall is both anticipated and temporary. We show that the permanent income hypothesis prescription...

Elaborating on Pasinetti (1998), the 'Geometry of Debt Sustainability' - GDS - represents a simple analytical tool for the analysis of the long-run sustainability of foreign debt. GDS provides a simple analysis of three aspects of debt sustainability. It points up how the 'structural' aspect -...

A windfall of natural resource revenue (or foreign aid) faces government with choices of how to manage public debt, investment, and the distribution of funds for consumption, particularly if the windfall is both anticipated and temporary. We show that the permanent income hypothesis prescription...

Objective: The objective of this article is to examine the role of democracy in strengthening the resilience of developing economies in the face of exogenous negative external shocks. Research Design & Methods: To achieve our research objectives, we used the duration model to estimate how...

Economic performance in many emerging market and developing economies (EMDEs) improved substantially over the past twenty years. The past decade was particularly good-for the first time EMDEs spent more time in expansion and had smaller downturns thanadvanced economies. In this paper we document...

Economic planning is a term used to describe the long term plans of an incumbent government to manage the economy. Planning is defined as conceiving, initiating, regulating and controlling economic activity by the state according to set priorities with a view to achieving well-defined objectives...

Political economists debate the existence of a political business cycle (PBCs), in which politicians stimulate the economy to improve their re-election chances, only to cause a post-election slowdown. For developing countries, scholars have found evidence of election-year policy tinkering. Yet...

This paper studies the effect of financial repression and contract enforcement on entrepreneurship and economic development. We construct and solve a general equilibrium model with heterogeneous agents, occupational choice and two financial frictions: intermediation costs and financial contract...