IDEAS home Printed from https://ideas.repec.org/p/adb/adbwps/982.html
   My bibliography  Save this paper

Working Paper 179 - Heterogeneity of the Effects of Aid on Economic Growth in Sub-Saharan: Comparative Evidence from Stable and Post-Conflict Countries

Author

Listed:
  • Douzounet Mallaye
  • Thierry Yogo Urbain

Abstract

This study provides evidence of the effectiveness of aid through the use of a sample of 34 sub-Saharan African countries over the period 1990-2010. After considering the endogeneity of aid, the results of the estimation reveal that aid has a positive effect on growth only when the estimation is controlled for governance. The comparative analysis shows in turn that governance and education are the main channels through which aid is transmitted to growth in a stable environment. In a post-conflict environment, on the other hand, aid affects growth via investment in public capital (infrastructure). Finally, the Oaxaca-Blinder decomposition approach shows that the difference in terms of amounts of aid received does not explain the differences in growth observed between stable countries and countries in post-conflict situations. Based on those results, the economic policy implications are discussed in the conclusion.

Suggested Citation

  • Douzounet Mallaye & Thierry Yogo Urbain, 2013. "Working Paper 179 - Heterogeneity of the Effects of Aid on Economic Growth in Sub-Saharan: Comparative Evidence from Stable and Post-Conflict Countries," Working Paper Series 982, African Development Bank.
    • Handle: RePEc:adb:adbwps:982
    as

    Download full text from publisher

    File URL: https://www.afdb.org/fileadmin/uploads/afdb/Documents/Publications/Working%20Paper%20179%20-%20Heterogeneity%20of%20the%20Effects%20of%20Aid%20on%20Economic%20Growth%20in%20Sub-Saharan%20Africa.pdf
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:adb:adbwps:982. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Adeleke Oluwole Salami (email available below). General contact details of provider: https://edirc.repec.org/data/afdbgci.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.