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New Data, New Doubts: Revisiting "Aid, Policies, and Growth"

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Author Info

  • William Easterly

    ()

  • Ross Levine
  • David Roodman

Abstract

The Burnside and Dollar (2000) finding that aid raises growth in a good policy environment has had an important influence on policy and academic debates. We conduct a data gathering exercise that updates their data from 1970–93 to 1970–97, as well as filling in missing data for the original period 1970–93. We find that the BD finding is not robust to the use of this additional data.

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Bibliographic Info

Paper provided by Center for Global Development in its series Working Papers with number 26.

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Length: 22 pages
Date of creation: Jun 2003
Date of revision:
Handle: RePEc:cgd:wpaper:26

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Web page: http://www.cgdev.org

Related research

Keywords: economic policy; economic growth;

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Cited by:
  1. Riccardo Faini, 2006. "Remittances and the brain drain," Development Working Papers 214, Centro Studi Luca d\'Agliano, University of Milano.
  2. Buscemi, Antonino & Yallwe, Alem Hagos, 2011. "Money laundry and financial development," MPRA Paper 32458, University Library of Munich, Germany.
  3. Matteo Bobba & Andrew Powell, 2007. "Ayuda y crecimiento: La política importa," Research Department Publications 4512, Inter-American Development Bank, Research Department.
  4. Wane, Waly, 2004. "The quality of foreign aid : country selectivity or donors incentives?," Policy Research Working Paper Series 3325, The World Bank.
  5. Jeff Dayton-Johnson & John Hoddinott, 2003. "Aid, policies and growth, redux," Department of Economics at Dalhousie University working papers archive redux2, Dalhousie, Department of Economics.
  6. Agénor, Pierre-Richard & Bayraktar, Nihal & El Aynaoui, Karim, 2008. "Roads out of poverty? Assessing the links between aid, public investment, growth, and poverty reduction," Journal of Development Economics, Elsevier, vol. 86(2), pages 277-295, June.
  7. Ratha, Dilip & Mohapatra, Sanket & Plaza, Sonia, 2008. "Beyond aid : new sources and innovative mechanisms for financing development in Sub-Saharan Africa," Policy Research Working Paper Series 4609, The World Bank.
  8. Matías Vernengo, 2007. "Monetary Policies for an MDG-Related Scaling up of ODA to Combat HIV/AIDS:Avoiding Dutch Disease Versus Supporting Fiscal Expansion," Conference Paper 2, International Policy Centre for Inclusive Growth.
  9. François Bourguignon & Mark Sundberg, 2007. "Aid Effectiveness – Opening the Black Box," American Economic Review, American Economic Association, vol. 97(2), pages 316-321, May.
  10. Ralf Hepp, 2005. "Health Expenditures Under the HIPC Debt Initiative," International Finance 0510005, EconWPA.
  11. Clemens, Michael A. & Kenny, Charles J. & Moss, Todd J., 2007. "The Trouble with the MDGs: Confronting Expectations of Aid and Development Success," World Development, Elsevier, vol. 35(5), pages 735-751, May.
  12. Matteo Bobba & Andrew Powell, 2007. "Aid and Growth: Politics Matters," Research Department Publications 4511, Inter-American Development Bank, Research Department.
  13. Lin, Tun & Mavrotas, George, 2004. "A Contract Perspective on the International Finance Facility," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  14. Yuan K. Chou & Hayat Khan, 2004. "Explaining Africa's Growth Tragedy: A Theoretical Model of Dictatorship and Kleptocracy," Department of Economics - Working Papers Series 922, The University of Melbourne.
  15. Hans Genberg, 2005. "The macroeconomic effects of adjustment lending: A review and evaluation," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 8(1), pages 1-40.

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