Dalgaard, Carl-Johan; Hansen, Henrik; Tarp, Finn - In: Economic Journal 114 (2004) 496, pp. 191-191
The present paper re-examines the effectiveness of foreign aid theoretically and empirically. Using a standard OLG model we show that aid inflows will in general affect long-run productivity. The size and direction of the impact may depend on policies, 'deep' structural characteristics and the...