The West's aid dilemma and the Chinese solution?
Abstract There are currently two contrasting approaches towards aid policy in Africa: that followed by the West is well known for its conditionality, selectivity and focus on direct financial support, while the approach adopted by China eschews conditionality and concentrates on infrastructure building. The Chinese approach has been criticised for its failure to create direct employment and because, it is argued, its unconditionality hampers good governance in Africa. However, this paper argues that the West faces a dilemma, in that governance and its improvements are endogenous to the economic development of a country. Making aid conditional upon governance therefore unduly penalises countries at the bottom. The Chinese approach, in contrast, avoids this dilemma by directly targeting constraints to development; it may therefore be more effective in generating long-run growth, which may in turn foster good governance.
|Date of creation:||2012|
|Date of revision:|
|Contact details of provider:|| Postal: Humanities Bridgeford Street, Oxford Road,Manchester, M13 9PL|
Phone: +44(0)7717 881567
Web page: http://www.gdi.manchester.ac.uk/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- World Bank, 2000. "Can Africa Claim the 21st Century?," World Bank Publications, The World Bank, number 22962.
- Zhang, Xiaobo & Fan, Shenggen & Zhang, Linxiu & Huang, Jikun, 2002.
"Local governance and public goods provision in rural China:,"
EPTD discussion papers
93, International Food Policy Research Institute (IFPRI).
- Zhang, Xiaobo & Fan, Shenggen & Zhang, Linxiu & Huang, Jikun, 2004. "Local governance and public goods provision in rural China," Journal of Public Economics, Elsevier, vol. 88(12), pages 2857-2871, December.
- Xiaobo Zhang & Shenggen Fan, 2004.
"How Productive Is Infrastructure? A New Approach and Evidence from Rural India,"
American Journal of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 86(2), pages 492-501.
- Zhang, Xiaobo & Fan, Shenggen, 2001. "How productive is infrastructure?: new approach and evidence from rural India," EPTD discussion papers 84, International Food Policy Research Institute (IFPRI).
- Kaplinsky, Raphael & Morris, Mike, 2008. "Do the Asian Drivers Undermine Export-oriented Industrialization in SSA," World Development, Elsevier, vol. 36(2), pages 254-273, February.
When requesting a correction, please mention this item's handle: RePEc:bwp:bwppap:17712. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Rowena Harding)
If references are entirely missing, you can add them using this form.