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Aid and Universal Primary Education

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  • Rohen D'Aiglepierre

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS : UMR6587 - Université d'Auvergne - Clermont-Ferrand I)

  • Laurent Wagner

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS : UMR6587 - Université d'Auvergne - Clermont-Ferrand I)

Abstract

Universal Primary Education (UPE) is one of the main objectives of development aid. However, very little empirical evidence of its effectiveness actually exists. Until very recently, the quality of available data was not sufficient to obtain robust results regarding the relationship between international aid and educational achievements. In this article, the latest, more disaggregated and more reliable data is used to study the relationship between aid to education and educational achievements. The focus here not only on educational variables in term of coverage, but also in term of equity and process. The year of Fast Track Initiative (FTI) endorsement is used as an original instrument to tackle the endogeneity problem of aid. Our results are very robust and indicate that aid to primary education has a strong effect on primary school enrollment and gender parity. A negative impact on repetitions rate is also indicated while no effect on the pupil teacher ratio can be observed. Diminishing return in the effectiveness of aid to primary education may also be highlighted. Finally, the governance variables do not appear to have an impact on this relationship.

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Bibliographic Info

Paper provided by HAL in its series Working Papers with number halshs-00552241.

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Date of creation: 05 Jan 2011
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Handle: RePEc:hal:wpaper:halshs-00552241

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Keywords: aid effectiveness; education; Sector-specific aid;

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References

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  1. Castelló-Climent, Amparo & Hidalgo-Cabrillana, Ana, 2012. "The role of educational quality and quantity in the process of economic development," Economics of Education Review, Elsevier, Elsevier, vol. 31(4), pages 391-409.
  2. Susanna Wolf, 2007. "Does Aid Improve Public Service Delivery?," Review of World Economics (Weltwirtschaftliches Archiv), Springer, Springer, vol. 143(4), pages 650-672, December.
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  4. David Roodman, 2007. "The Anarchy of Numbers: Aid, Development, and Cross-Country Empirics," World Bank Economic Review, World Bank Group, World Bank Group, vol. 21(2), pages 255-277, May.
  5. Mishra, Prachi & Newhouse, David, 2009. "Does health aid matter?," Journal of Health Economics, Elsevier, Elsevier, vol. 28(4), pages 855-872, July.
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  11. Dreher, Axel & Nunnenkamp, Peter & Thiele, Rainer, 2008. "Does Aid for Education Educate Children? Evidence from Panel Data," Open Access Publications from Kiel Institute for the World Economy, Kiel Institute for the World Economy (IfW) 28827, Kiel Institute for the World Economy (IfW).
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  13. Angus Deaton, 2010. "Instruments, Randomization, and Learning about Development," Journal of Economic Literature, American Economic Association, vol. 48(2), pages 424-55, June.
  14. Michael A. Clemens & Steven Radelet & Rikhil R. Bhavnani & Samuel Bazzi, 2012. "Counting Chickens when they Hatch: Timing and the Effects of Aid on Growth," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 122(561), pages 590-617, 06.
  15. Chauvet, Lisa & Guillaumont, Patrick, 2009. "Aid, volatility, and growth again : when aid volatility matters and when it does not," Economics Papers from University Paris Dauphine 123456789/5400, Paris Dauphine University.
  16. Paul Collier & Anke Hoeffler, 2007. "Unintended Consequences: Does Aid Promote Arms Races?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 69(1), pages 1-27, 02.
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Cited by:
  1. Julian Donaubauer & Dierk Herzer & Peter Nunnenkamp, 2012. "Does Aid for Education Attract Foreign Investors? An Empirical Analysis for Latin America," Kiel Working Papers 1806, Kiel Institute for the World Economy.
  2. Birchler, Kassandra & Michaelowa, Katharina, 2013. "Making aid work for education in developing countries: An analysis of aid effectiveness for primary education coverage and quality," Working Paper Series, World Institute for Development Economic Research (UNU-WIDER) UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  3. Patrick GUILLAUMONT & Laurent WAGNER, 2014. "Aid effectiveness for poverty reduction: lessons from cross-country analyses, with a special focus on vulnerable countries," Working Papers, FERDI P96, FERDI.
  4. Douzounet Mallaye & Yogo Thierry Urbain, 2013. "Foreign aid and mobilization of growth factors in sub-Saharan Africa," Working Paper Series, World Institute for Development Economic Research (UNU-WIDER) UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  5. Julian Donaubauer & Birgit Meyer & Peter Nunnenkamp, 2014. "Aid, Infrastructure, and FDI: Assessing the Transmission Channel with a New Index of Infrastructure," Kiel Working Papers 1954, Kiel Institute for the World Economy.
  6. Ziesemer, Thomas, 2012. "The impact of development aid on education and health: Survey and new evidence from dynamic models," MERIT Working Papers 057, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).

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