Does official aid pave the road for private foreign investment or does it suffocate private initiative by diverting … marginal effect of aid on private foreign investment is close to zero. Surprisingly, however, the effect is strictly positive …

We explore whether foreign aid affects developing countries' creditworthiness, as proxied by the Institutional Investor … current aid reduces the likelihood of future default. We then test this hypothesis, using a data set that covers a large … number of developing countries in the 1980s and 1990s. While the size of the effect differs across types of aid and country …

Does official aid pave the road for private foreign investment or does it suffocate private initiative by diverting … marginal effect of aid on private foreign investment is close to zero. Surprisingly, however, the effect is strictly positive …

There is little consensus on the capacity for foreign aid to cause economic growth in developing countries. This is due … Human Rights Treaties at the UN to identify an average causal effect of aid on growth. Our approach allows for heterogeneous … effects of aid on growth across recipients for unobservable reasons, and we thus identify a Local Average Treatment Effect …

Political proximity between donor and recipient governments may impair the effectiveness of aid by encouraging … favoritism. By contrast, political misalignment between donor and recipient governments may render aid less effective by adding … the political ideology of both governments along the left-right spectrum in augmented models on the economic growth …

) aid that affects growth only over a long period of time, if at all, such as aid to support democracy, the environment …Past research on aid and growth is flawed because it typically examines the impact of aggregate aid on growth over a … short period, usually four years, while significant portions of aid are unlikely to affect growth in such a brief time. We …

This paper examines whether foreign aid in education has a significant effect on growth. We take into consideration the … flows as well as the heterogeneity of recipient countries when analyzing the effect of aid on growth … heterogeneous nature of aid as well as the heterogeneity of aid recipients - we disaggregate the aid data into primary, secondary …

) aid that affects growth only over the long term, if at all, such as aid to support democracy, the environment, health, or …Past research on aid and growth is flawed because it typically examines the impact of aggregate aid on growth over a … short period, usually four years, while significant portions of aid are unlikely to affect growth in such a brief time. We …

This article examines the causal relationship between foreign aid, poverty, and economic growth in 82 developing … relationship between economic growth and poverty; (b) a unidirectional causal relationship from economic growth to foreign aid; and … (c) unidirectional causality from poverty to foreign aid. In the long-run, the study found that (a) foreign aid tends to …