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Do countries strategically improve their institutions to access increased debt relief?

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  • William Akoto

    ()
    (Nelson Mandela Metropolitan University)

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    Abstract

    This paper examines how indebted countries have reacted to the recent shift in the global debt relief architecture towards rewarding indebted countries that have ‘superior' institutions with increased debt relief by probing whether there is any empirical evidence to suggest that countries may be taking advantage of this shift. The findings suggest that debtor countries have quickly adapted to the shift by strategically improving in key areas of institutional governance prior to applying for debt relief.

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    File URL: http://www.accessecon.com/Pubs/EB/2013/Volume33/EB-13-V33-I2-P112.pdf
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    Bibliographic Info

    Article provided by AccessEcon in its journal Economics Bulletin.

    Volume (Year): 33 (2013)
    Issue (Month): 2 ()
    Pages: 1185-1192

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    Handle: RePEc:ebl:ecbull:eb-13-00157

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    Related research

    Keywords: Debt Relief; Aid; Institutional Quality; HIPC; Development.;

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    1. Alberto Alesina & Beatrice Weder, 2002. "Do Corrupt Governments Receive Less Foreign Aid?," American Economic Review, American Economic Association, vol. 92(4), pages 1126-1137, September.
    2. Michaelowa, Katharina, 2003. " The Political Economy of the Enhanced HIPC-Initiative," Public Choice, Springer, vol. 114(3-4), pages 461-76, March.
    3. Chauvin, Nicolas Depetris & Kraay, Aart, 2006. "Who gets debt relief ?," Policy Research Working Paper Series 4000, The World Bank.
    4. Alessandro Missale & Silvia Marchesi, 2004. "What does motivate lending and aid to the HIPCs?," International Finance 0411006, EconWPA.
    5. Graham Bird & Alistair Milne, 2003. "Debt Relief for Low Income Countries: Is it Effective and Efficient?," The World Economy, Wiley Blackwell, vol. 26(1), pages 43-59, January.
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