The literature on the stylised facts of structural change in LDCs has been bedevilled by three problems: (i) drawing time-series inferences from cross-section results; (ii) endogeneity of the variables involved; and (iii) an inability to separate short-run from long-run effects. This paper uses...

Foreign aid inflows have grown significantly in the post-war period. Many studies have tried to assess the effectiveness of aid at the micro- and macro-level. While micro-evaluations have found that in most cases aid "works", those at the macro-level are ambiguous. This paper assesses the impact...