IDEAS home Printed from https://ideas.repec.org/h/pal/dofeco/v7year2013doi3906.html
   My bibliography  Save this book chapter

aid conditionality

Author

Listed:
  • Oliver Morrissey

Abstract

Aid conditionality refers to the practice of donors attaching conditions to enhance the effectiveness of aid. The donor's prime objective is to reduce poverty, but recipients want to divert some of the aid to elites. This gives rise to two problems: adverse selection (aid does not go to the recipients who will make best use) and moral hazard (recipients can misuse the aid). The article reviews how aid conditionality can address these problems, and briefly considers empirical evidence.

Suggested Citation

  • Oliver Morrissey, 2013. "aid conditionality," The New Palgrave Dictionary of Economics,, Palgrave Macmillan.
    • Handle: RePEc:pal:dofeco:v:7:year:2013:doi:3906
    as

    Download full text from publisher

    File URL: http://www.dictionaryofeconomics.com/article?id=pde2013_A000263
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    aid agencies; donors; IMF; moral hazard; structural adjustment; World Bank;
    All these keywords.

    JEL classification:

    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:dofeco:v:7:year:2013:doi:3906. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sheeja Sanoj (email available below). General contact details of provider: http://www.palgrave-journals.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.