2015
DOI: 10.1146/annurev-economics-080614-115553
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Making Progress on Foreign Aid

Abstract: Foreign aid is one of the most important policy tools that rich countries use for helping poor countries to improve population well-being and facilitate economic and institutional development. The empirical evidence on its benefits is mixed and has generated much controversy. This paper presents descriptive statistics which show that foreign aid to very poor countries accounts for very little of total global aid; reviews the evidence that foreign aid is often determined by the objectives of donor countries rat… Show more

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Cited by 143 publications
(42 citation statements)
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“…As humanitarian aid tends to be promised (and given) promptly without much time delay, the variable is not lagged by one period. Its coefficient is close to zero and not significant in our regressions, which may be due to the fact that humanitarian aid represents only a minor fraction of total aid (Qian, 2015).…”
Section: Variablesmentioning
confidence: 57%
“…As humanitarian aid tends to be promised (and given) promptly without much time delay, the variable is not lagged by one period. Its coefficient is close to zero and not significant in our regressions, which may be due to the fact that humanitarian aid represents only a minor fraction of total aid (Qian, 2015).…”
Section: Variablesmentioning
confidence: 57%
“…This is far from well established. The research literature has not settled on a consensus that past development aid has had any positive growth impact on average (Qian 2015). Many rigorous studies fail to detect the slightest growth effect of aid.…”
Section: The Effect Of Aid On Conditions In Migrant-origin Countriesmentioning
confidence: 99%
“…In this paper, we focus on another important dimension of heterogeneity that has so far been neglected in the literature, namely whether or not the delivery of foreign aid is actually associated with a transfer of resources to the recipient country. We depart from Qian's (2015) observation that a substantial share of the foreign aid reported by OECD Development Assistance Committee (DAC) donors is spent within their own borders. This so-called non-transferred aid is usually not considered a separate analytical category, even though it can be expected to differ fundamentally from transferred aid as concerns its impact on outcome variables such as emigration rates.…”
Section: Introduction *mentioning
confidence: 65%
“…We divide foreign aid into transferred and non-transferred aid based on the classification proposed by Qian (2015). Non-transferred aid comprises all forms of assistance spent within donor borders such as School Training, Imputed Student Costs, Administrative Costs, Development Awareness, Refugee Costs and Debt Relief (see Table A1 for a brief description of each item).…”
Section: The Significance and Pattern Of Non-transferred Aidmentioning
confidence: 99%
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