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What type of economic growth does foreign aid support?

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  • Simon Feeny
  • Bazoumana Ouattara

Abstract

This article contributes to the aid effectiveness literature by investigating the type of economic growth that foreign aid spurs. The impact of foreign on agricultural growth and industrial growth is examined. Results provide strong evidence to suggest that foreign aid is effective at increasing the former in recipient countries.

Suggested Citation

  • Simon Feeny & Bazoumana Ouattara, 2009. "What type of economic growth does foreign aid support?," Applied Economics Letters, Taylor & Francis Journals, vol. 16(7), pages 727-730.
  • Handle: RePEc:taf:apeclt:v:16:y:2009:i:7:p:727-730
    DOI: 10.1080/13504850701221832
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    References listed on IDEAS

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    1. Richard Blundell & Stephen Bond & Frank Windmeijer, 2000. "Estimation in dynamic panel data models: improving on the performance of the standard GMM estimator," IFS Working Papers W00/12, Institute for Fiscal Studies.
    2. David Roodman, 2007. "The Anarchy of Numbers: Aid, Development, and Cross-Country Empirics," World Bank Economic Review, World Bank Group, vol. 21(2), pages 255-277, May.
    3. William Easterly & Ross Levine & David Roodman, 2003. "New Data, New Doubts: Revisiting "Aid, Policies, and Growth"," Working Papers 26, Center for Global Development.
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    Cited by:

    1. Tseday Jemaneh Mekasha & Finn Tarp, 2013. "Aid and Growth: What Meta-Analysis Reveals," Journal of Development Studies, Taylor & Francis Journals, vol. 49(4), pages 564-583, April.
    2. Kaya, Ozgur & Kaya, Ilker & Gunter, Lewell F., 2008. "The Impact of Agricultural Aid on Agricultural Sector Growth," 2008 Annual Meeting, February 2-6, 2008, Dallas, Texas 6743, Southern Agricultural Economics Association.
    3. Philip Michael Kargbo & Kunal Sen, 2014. "Aid Categories that Foster Pro-Poor Growth: The Case of Sierra Leone," African Development Review, African Development Bank, vol. 26(2), pages 416-429, June.
    4. Hoda Abd El Hamid Ali, 2013. "Foreign Aid and Economic Growth in Egypt: A Cointegration Analysis," International Journal of Economics and Financial Issues, Econjournals, vol. 3(3), pages 743-751.
    5. Maria Tsiapa, 2014. "Industrial Growth In The Integrated European Economic Space," Organizations and Markets in Emerging Economies, Faculty of Economics, Vilnius University, vol. 5(2).

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