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The proliferation of aid projects may overburden recipient governments with reporting requirements, donor visits, and other administrative overhead, siphoning off scarce domestic recipient resources, such as tax revenue or the time of skilled government officials, from directly productive use....
Persistent link: https://www.econbiz.de/10005162686
We augment Holmstrom’s (1982) team production model in the context of aid effectiveness. In addition, we show how donor proliferation leads to inefficient supply of aid in the recipient country because of the free-riding problem faced by the donors. Our empirical findings support the...
Persistent link: https://www.econbiz.de/10010594184
The record of aid to fragile and poorly-performing states is the real test of aid effectiveness. Rich countries can justify aid to fragile states both through altruism and self-interest. But, with some exceptions, donors have appeared at the wrong times and with the wrong attitudes, even...
Persistent link: https://www.econbiz.de/10008671992
The Monterrey Consensus agreed at the UN summit on Financing for Development in 2002 promised a breakthrough in terms of donor generosity, aid effectiveness and new means of financing. However, the development orientation of world leaders proved to be short-lived. This is even though our...
Persistent link: https://www.econbiz.de/10008876771
Using data from 1988 to 2007, we examine to what extent bilateral aid flows of an individual donor to a country depend on aid flows from all other bilateral and multilateral donors to that country in that year. We thereby want to assess to what extent donor coordination, free-riding,...
Persistent link: https://www.econbiz.de/10011185242
The perennial lamentation since the inception of the aid business has been fragmentation: too many donors carrying …: 2; Acharya et al. 2006; Frot and Santiso 2010, 2011). Such fragmentation produces high burdens on the recipient and is … parcel of the fragmentation problem, be only due to their sheer number: around 40.000 NGOs are internationally active (UNDP …
Persistent link: https://www.econbiz.de/10011122701
Aid fragmentation and a lack of donor coordination have been widely recognized as principal problems impairing the …
Persistent link: https://www.econbiz.de/10010895518
Acknowledging that aid proliferation and a lack of coordination impair aid effectiveness, donors have repeatedly promised to specialize and better coordinate their aid activities, most notably in the Paris Declaration of 2005. We exploit geocoded aid data from Malawi to assess whether the...
Persistent link: https://www.econbiz.de/10011208178
Fragile states (FS) are often neglected and categorized as “aid orphans”. In extreme circumstances, they are loaded with aid beyond their absorptive capacity. However, whether they receive little or too much, there is a compelling imperative to coordinate aid aimed at capacity development...
Persistent link: https://www.econbiz.de/10015040267
The regional allocation of aid within recipient countries has been largely ignored in the aid allocation literature. We use geocoded data on the location of aid projects financed by the World Bank and the African Development Bank within a sample of 27 recipient countries to assess the claim of...
Persistent link: https://www.econbiz.de/10010292636