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Effective Foreign Aid, Economic Integration and Subsidiarity: Lessons from Europe

Author

Listed:
  • Abdur Chowdhury

    () (United Nations Economic Commission for Europe)

  • Paolo Garonna

    () (United Nations Economic Commission for Europe)

Abstract

This paper argues that the most important question regarding the efficacy of development assistance is not how much but rather for what. Economic integration and subsidiarity provides the conditions necessary for ODA to produce higher rates of economic growth on a sustained basis.

Suggested Citation

  • Abdur Chowdhury & Paolo Garonna, 2007. "Effective Foreign Aid, Economic Integration and Subsidiarity: Lessons from Europe," ECE Discussion Papers Series 2007_2, UNECE.
  • Handle: RePEc:ece:dispap:2007_2
    as

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    File URL: http://www.unece.org/fileadmin/DAM/oes/disc_papers/ECE_DP_2007-2.pdf
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    References listed on IDEAS

    as
    1. Henrik Hansen & Finn Tarp, 2000. "Aid effectiveness disputed," Journal of International Development, John Wiley & Sons, Ltd., vol. 12(3), pages 375-398, April.
    2. Raghuram G. Rajan & Arvind Subramanian, 2008. "Aid and Growth: What Does the Cross-Country Evidence Really Show?," The Review of Economics and Statistics, MIT Press, vol. 90(4), pages 643-665, November.
    3. R. Lensink & H. White, 2001. "Are There Negative Returns to Aid?," Journal of Development Studies, Taylor & Francis Journals, vol. 37(6), pages 42-65.
    4. C-J. Dalgaard & H. Hansen, 2001. "On Aid, Growth and Good Policies," Journal of Development Studies, Taylor & Francis Journals, vol. 37(6), pages 17-41.
    5. David Dollar & Craig Burnside, 2000. "Aid, Policies, and Growth," American Economic Review, American Economic Association, vol. 90(4), pages 847-868, September.
    6. Carl-Johan Dalgaard & Henrik Hansen & Finn Tarp, 2004. "On The Empirics of Foreign Aid and Growth," Economic Journal, Royal Economic Society, vol. 114(496), pages 191-216, June.
    7. Michael A. Clemens & Steven Radelet & Rikhil Bhavnani, 2004. "Counting chickens when they hatch: The short-term effect of aid on growth," International Finance 0407010, EconWPA.
    8. Isham, Jonathan & Kaufmann, Daniel & Pritchett, Lant, 1995. "Governance and returns on investment : an empirical investigation," Policy Research Working Paper Series 1550, The World Bank.
    9. Levy, Victor, 1988. "Aid and growth in Sub-Saharan Africa: The recent experience," European Economic Review, Elsevier, vol. 32(9), pages 1777-1795, November.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    foreign aid; economic integration; transition economies;

    JEL classification:

    • F35 - International Economics - - International Finance - - - Foreign Aid
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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