Grants to needy countries? A study of aid composition between 1975 and 2005
AbstractThis paper studies whether the poorest and most indebted countries receive aid in the form of grants rather than loans. By studying bilateral aid flows to low- and middle-income countries between 1975 and 2005, the paper provides evidence on the determinants of the grant component of aid flows. While the empirical analysis finds no evidence that more indebted countries receive a higher grant component, it shows that poorer countries receive a significantly higher grant component of aid, although the size of the effect is rather limited.
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Bibliographic InfoPaper provided by Lund University, Department of Economics in its series Working Papers with number 2009:19.
Length: 30 pages
Date of creation: 17 Dec 2009
Date of revision:
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Postal: Department of Economics, School of Economics and Management, Lund University, Box 7082, S-220 07 Lund,Sweden
Phone: +46 +46 222 0000
Fax: +46 +46 2224613
Web page: http://www.nek.lu.se/
More information through EDIRC
Aid composition; Aid allocation; Indebtedness; Poverty;
Find related papers by JEL classification:
- F34 - International Economics - - International Finance - - - International Lending and Debt Problems
- F35 - International Economics - - International Finance - - - Foreign Aid
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