Download or read book Development Thresholds of Foreign Aid Effectiveness in Africa written by Simplice Asongu and published by . This book was released on 2015 with total page 36 pages. Available in PDF, EPUB and Kindle. Book excerpt: Purpose - This paper examines whether initial levels in GDP growth, GDP per capita growth and inequality adjusted human development matter in the impact of aid on development. In substance its object is to assess if threshold development conditions are necessary for the effectiveness of foreign aid in Africa. Design/Methodology/Approach - The panel quantile regression technique enables us to investigate if the relationship between development dynamics and development assistance differs throughout the distributions of development dynamics.Findings - Three main findings are established. (1) With slight exceptions, the effectiveness of aid in economic prosperity (at the macro level) increases in positive magnitude across the distribution. This implies high-growth countries are more likely to benefit from development assistance (in terms of general economic growth) than their low-growth counterparts. (2) The positive nexus between aid and per capita economic growth displays nonlinear patterns across distributions and specifications, with the correlations broadly higher in top quantiles than in bottom quantiles after controlling for the unobserved heterogeneity. (3) The aid-human development nexus is negative and almost similar in magnitude across distributions and specifications.Practical Implications - As a policy implication, there is need to improve management of aid funds destined for health and education projects in the sampled countries. Moreover, given the magnitude of the nexuses, while blanket aid initiatives could be applied for policies targeting the HDI (due to the absence of significant differences in the magnitude of estimated coefficients), such are unlikely to succeed for aid targeting economic prosperity at macro and micro levels. From the weight of the findings, given a policy of balancing the impact of aid, it could be inferred that low-growth countries would need more aid than their high-growth counterparts because of the less positive effects in the former countries. Originality/Value - This paper contributes to existing literature on the effectiveness of foreign aid by focusing on the distribution of the dependent variables (development dynamics). It is likely that high- and low-growth countries respond differently to development assistance.

Download or read book Aid and Growth at the Regional Level written by Axel Dreher and published by International Monetary Fund. This book was released on 2015-09-03 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper brings the aid effectiveness debate to the sub-national level. We hypothesize the nonrobust results regarding the effects of aid on development in the previous literature to arise due to the effects of aid being insufficiently large to measurably affect aggregate outcomes. Using geocoded data for World Bank aid to a maximum of 2,221 first-level administrative regions (ADM1) and 54,167 second-level administrative regions (ADM2) in 130 countries over the 2000-2011 period, we test whether aid affects development, measured as nighttime light growth. Our preferred identification strategy exploits variation arising from interacting a variable that indicates whether or not a country has passed the threshold for receiving IDA's concessional aid with a recipient region's probability to receive aid, in a sample of 478 ADM1 regions and almost 8,400 ADM2 regions from 21 countries. Controlling for the levels of the interacted variables, the interaction provides a powerful and excludable instrument. Overall, we find significant correlations between aid and growth in ADM2 regions, but no causal effects.

Download or read book Institutional Benchmarking of Foreign Aid Effectiveness in Africa written by Simplice Asongu and published by . This book was released on 2015 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper integrates two main strands of the aid-development nexus in assessing whether institutional thresholds matter in the effectiveness of foreign aid on institutional development in 53 African countries over the period 1996-2010. Eight government quality indicators are employed: rule of law, regulation quality, government effectiveness, corruption, voice & accountability, control of corruption, political stability and democracy. Three hypotheses are tested and the following findings are established: (1) Institutional benefits of foreign-aid are contingent on existing institutional levels in Africa. (2) But for a thin exception (democracy), foreign-aid is more negatively correlated with countries of higher institutional quality than with those of lower quality. (3) The institutional benefits of foreign-aid are not questionable until greater domestic institutional development has taken place. The reverse is true instead. Government quality benefits of development assistance are questionable in African countries irrespective of prevailing institutional quality levels.

Download or read book Lessons on Foreign Aid and Economic Development written by Nabamita Dutta and published by Springer Nature. This book was released on 2019-09-06 with total page 302 pages. Available in PDF, EPUB and Kindle. Book excerpt: A response to the pressing need to address and clarify the substantial ambiguity within current literature, this edited volume aims to deepen readers’ understanding of the impact of foreign aid on development outcomes based on the latest findings in research over the past decade. Foreign aid has long been seen as one of two extremes: either beneficial or damaging, a blessing or a curse. Consequently, many readers perceive aid’s effectiveness based on the work of scholars who are assessing the impact of aid from one of two antithetical perspectives. This book takes a different approach, shedding light on recent research that can deepen our understanding of the complex relationship between aid and its aftereffects. Drawing from an extensive set of studies that have explored micro and macro impacts of foreign aid for recipient nations, chapter authors highlight more layered and nuanced findings, with a focus on donor characteristics, political motives, and an evaluation of aid projects and their effectiveness, including the differential impact based on type of aid. This volume is the first of its kind to unpack aid as a complex rather than a unitary concept and explore the wide areas of grey that have long enshrouded foreign aid.

Download or read book The Developmental Effectiveness of Aid to Africa written by Tony Killick and published by World Bank Publications. This book was released on 1991 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt: Aid to Sub-Saharan Africa has been less effective in promoting economic development than has aid to other regions. Policies in the recipient countries of Africa - though certainly not the only factor - play the most important role in determining aid's effectiveness. At the heart of the problem is politics, and the solution rests in the hands of the people of Africa.

Download or read book The Future of Foreign Aid written by A. Sumner and published by Springer. This book was released on 2012-12-18 with total page 114 pages. Available in PDF, EPUB and Kindle. Book excerpt: Sumner and Mallett review the literature on aid in light of shifts in the aid system and the increasing concentration of the world's poor in middle-income countries. As a consequence, they propose a series of practical, policy relevant options for future development cooperation, with the aim of provoking discussion and informing policy.

Download or read book Developmental Effectiveness of Foreign Aid to Africa written by Onyukwu E. Onyukwu and published by . This book was released on 2000 with total page 56 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Foreign Aid and Development written by Finn Tarp and published by Psychology Press. This book was released on 2000 with total page 522 pages. Available in PDF, EPUB and Kindle. Book excerpt: Aid has worked in the past but can be made to work better in the future. This book offers important new research and will appeal to those working in economics, politics and development studies as well as to governmental and aid professionals.

Download or read book Improving Aid to Africa written by Nicolas Van de Walle and published by . This book was released on 1996 with total page 156 pages. Available in PDF, EPUB and Kindle. Book excerpt: As foreign aid flows decline and skepticism toward the effectiveness of aid to Africa grows, a major reassessment of aid is needed. While the ineffectiveness of aid to Africa is a long-standing concern, past studies typically have been driven bydonor priorities and have rarely focused on recipient governments. This neglect of the role of African governments is remarkable, since aid constitutes 10 to 15 percent of GNP in many African countries and often represents over half of all public investment. If the impact of official development assistance (ODA) is to be improved, recipient governments must become more involved in the reform of aid. This essay presents the policy findings of a collaborative project of field research and analyses of how African countries use aid resources and of donor/African relations. "The widespread belief of free market economists and nongovernmental organizations that government is the problem and not part of the solution has become a self-fulfilling prophesy in Africa,"writes van de Walle and Johnston, "donors must devote greater attention and resources to help build the capacity of African Governments to effectively manage aid, even as they encourage the central state to retrench from nonessential functions." The study assesses current donor practices and the impact of economic crisis on aid effectiveness in the region; and it offers recommendations to promote management capacity, focusing on the integration of aid resources in development management, sectoral specialization, and public dialogue on aid.

Download or read book On the Effectiveness of Foreign Aid in Institutional Quality written by Simplice Asongu and published by . This book was released on 2015 with total page 13 pages. Available in PDF, EPUB and Kindle. Book excerpt: We extend the Okada & Samreth (2012, EL) and Asongu (2012, EB) debate on 'the effect of foreign aid on corruption' by: not partially negating the former's methodological underpinning (as in the latter's approach) with a unifying empirical framework and; broadening the horizon of inquiry from corruption to eight institutional quality dynamics (rule of law, regulation quality, government effectiveness, democracy, corruption, voice & accountability, control of corruption and political stability). Core to this extension is a hypothetical contingency of the 'institutional perils of foreign aid' on existing institutional quality such that, the institutional downside of development assistance maybe questionable when greater domestic institutional development has taken place. Based on the hypothesis of institutional thresholds for foreign aid effectiveness, the perilous character of development assistance to institutional quality is broadly confirmed in 53 African countries for the period 1996-2010.

Download or read book The Role of Foreign Aid in Development written by Eric Jackson Labs and published by . This book was released on 1997 with total page 96 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Re Inventing Africa s Development written by Jong-Dae Park and published by Springer. This book was released on 2018-12-31 with total page 456 pages. Available in PDF, EPUB and Kindle. Book excerpt: This open access book analyses the development problems of sub-Sahara Africa (SSA) from the eyes of a Korean diplomat with knowledge of the economic growth Korea has experienced in recent decades. The author argues that Africa's development challenges are not due to a lack of resources but a lack of management, presenting an alternative to the traditional view that Africa's problems are caused by a lack of leadership. In exploring an approach based on mind-set and nation-building, rather than unity – which tends to promote individual or party interests rather than the broader country or national interests – the author suggests new solutions for SSA's economic growth, inspired by Korea's successful economic growth model much of which is focused on industrialisation. This book will be of interest to researchers, policymakers, NGOs and governmental bodies in economics, development and politics studying Africa's economic development, and Korea's economic growth model.

Download or read book Aid and Conditionality written by Fidelis Etah Ewane and published by GRIN Verlag. This book was released on 2008 with total page 85 pages. Available in PDF, EPUB and Kindle. Book excerpt: Master's Thesis from the year 2004 in the subject Politics - Region: Africa, grade: Merit, University of Kent, language: English, abstract: The persistent low state of development in sub-Saharan Africa has become a global challenge. Academics and think-tanks continue to search for solutions to Africa's longstanding problems. Studies have proven that the entire region is essentially confronted with a crisis of social structures and government and the fragmentation of authority is the hallmark of this crisis (Van Hoyweghen & Smis, 2002:575). Over twenty-four million people are infected with AIDS/HIV, growth of per capita income is low and civil wars have killed millions in Rwanda, Burundi, Liberia, Sierra Leone and the Democratic Republic of Congo. African governments owe billions of dollars in debt (Polanyi, 2003:563). This irreversible trend brought the good governance discourse in development cooperation between the donors and African counterparts. The purpose of this paper is to examine how the concept of good governance is being implemented in Africa. For clarity purposes, the work is limited to the analysis of the efforts being made by the European Union (EU) and the World Bank in assisting African countries to implement good governance. This choice is based on the fact that the EU and World Bank are the main multilateral aid donors and development partners of the region. It argues that good governance enhances transparency in the use of development aid, helps to reduce poverty and spurs development, and that it is necessary to foster institutional reforms (causative argument). The paper further argues that implementing good governance will improve the use of political power by leaders and help in the consolidation of peace (normative argument). Achieving global governance is a main issue in international politics today. Enforcing good governance is a must if Africa has to be fully integrated into the process of globalisation. And for globalisation to be

Download or read book Foreign Aid for Development written by George Mavrotas and published by OUP Oxford. This book was released on 2010-02-25 with total page 394 pages. Available in PDF, EPUB and Kindle. Book excerpt: Foreign aid is one of the few topics in the development discourse with such an uninterrupted, yet volatile history in terms of interest and attention from academics, policymakers, and practitioners alike. Does aid work in promoting growth and reducing poverty in the developing world? Will a new 'big push' approach accelerate progress towards the Millennium Development Goals or will another opportunity be missed? Can the lessons of almost half a century of aid giving be learnt? These are truly important questions in view of the emerging new landscape in foreign aid and recent developments related to the global financial crisis, which are expected to have far reaching implications for both donors and recipients engaged in this area. Against this shifting aid landscape, there is a pressing need to evaluate progress to date and shed new light on emerging issues and agendas. This volume brings together leading aid experts to review the progress achieved so far, identify the challenges ahead, and discuss the emerging policy agenda in foreign aid. A central conclusion of this important and timely volume is that, since development aid remains crucial for many developing countries, a huge effort is needed from both donors and aid recipients to overcome the inefficiencies and make aid work better for poor people. After all, as global citizens, we have a moral obligation to do the best we can to lift people out of poverty in the developing world. The findings of this book will be of considerable interest to professionals and policymakers engaged in policy reforms in foreign aid, and provide an essential one-stop reference for students of development, international finance, and economics.

Download or read book Assessing Aid written by and published by World Bank Publications. This book was released on 1998 with total page 164 pages. Available in PDF, EPUB and Kindle. Book excerpt: Assessing Aid determines that the effectiveness of aid is not decided by the amount received but rather the institutional and policy environment into which it is accepted. It examines how development assistance can be more effective at reducing global poverty and gives five mainrecommendations for making aid more effective: targeting financial aid to poor countries with good policies and strong economic management; providing policy-based aid to demonstrated reformers; using simpler instruments to transfer resources to countries with sound management; focusing projects oncreating and transmitting knowledge and capacity; and rethinking the internal incentives of aid agencies.

Download or read book The Effectiveness of Foreign Aid on Economic Growth in Africa written by Ashimi Traore and published by . This book was released on 2011 with total page 76 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book A Comparative Analysis of Foreign Aid Effectiveness in Africa and Asia written by Susanna Wang and published by . This book was released on 2016 with total page 47 pages. Available in PDF, EPUB and Kindle. Book excerpt: From his book the 'Wealth of Nation' Adam smith mentioned that 'the society will be happy and flourishing provided that the fruits of economic growth reach the lowest strata of the society'. But this does not resemble our world today. At least 80 percent of the human population live with less than 10 dollars a day. About 21 percent of the people in the developing world live at below 1.25 dollars a day with 1.22 billion people in 2010 and now 1.4 billion (The World Bank databank). Most developing countries are poor and characterised by low income, high population growth, high mortality rates, increased income inequality, low educational attainment and poor standard of living (Todaro and Smith 2011).