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The Impact of Foreign Aid in Education Growth: How Relevant is the Heterogeneity of Aid Flows and the Heterogeneity of Aid Recipients

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  • Asiedu, Elizabeth
  • Nandwa, Boaz

Abstract

This paper examines whether foreign aid in education has a significant effect on growth. We take into consideration the heterogeneous nature of aid as well as the heterogeneity of aid recipients?we disaggregate the aid data into primary, secondary and higher education, and run separate regressions for low-income and middle-income countries. We find that the effect of aid varies by income as well as by the type of aid. Thus our results underscore the importance of the heterogeneity of aid flows as well as the heterogeneity of recipient countries when analysing the effect of aid on growth.

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File URL: http://www.wider.unu.edu/stc/repec/pdfs/rp2007/rp2007-60.pdf
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Bibliographic Info

Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number UNU-WIDER Research Paper RP2007/60.

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Length: 16 pages
Date of creation: 2007
Date of revision:
Handle: RePEc:unu:wpaper:rp2007-60

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Keywords: education; foreign aid; growth;

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Cited by:
  1. Subhayu Bandyopadhyay & Sajal Lahiri & Javed Younas, 2011. "Should easier access to international credit replace foreign aid?," Working Papers 2011-023, Federal Reserve Bank of St. Louis.
  2. Elizabeth Asiedu & Yi Jin & Boaz Nandwa, 2009. "Does Foreign Aid Mitigate the Adverse Effect of Expropriation Risk on Foreign Direct Investment?," WORKING PAPERS SERIES IN THEORETICAL AND APPLIED ECONOMICS 200905, University of Kansas, Department of Economics.
  3. Isabel Neira Gómez & María Cadaval Sampedro & Marta Portela, 2010. "Ayuda al desarrollo, capital humano, capital social y crecimiento: una visión de la situación en Latinoamérica," Investigaciones de Economía de la Educación volume 5, in: María Jesús Mancebón-Torrubia & Domingo P. Ximénez-de-Embún & José María Gómez-Sancho & Greg (ed.), Investigaciones de Economía de la Educación 5, edition 1, volume 5, chapter 53, pages 1044-1060 Asociación de Economía de la Educación.
  4. Pincin, Jared, 2012. "Foreign aid and political influence of the development assistance committee countries," MPRA Paper 39668, University Library of Munich, Germany.
  5. Christensen, Zachary & Homer, Dustin & Nielson, Daniel L., 2011. "Dodging Adverse Selection: How Donor Type and Governance Condition Aid’s Effects on School Enrollment," World Development, Elsevier, vol. 39(11), pages 2044-2053.

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