IDEAS home Printed from https://ideas.repec.org/p/ulp/sbbeta/2019-22.html

Foreign aid, recipient government’s fiscal behavior and economic growth

Author

Listed:
  • Ngoc-Sang PHAM
  • Thi Kim Cuong PHAM

Abstract

The paper investigates the nexus between foreign aid, fiscal policy and economic outcomes in a small recipient country. Foreign aid may increase not only government expenditures but also private capital, and hence improve economic growth. However, it may also discourage the recipient’s tax effort. The effects of foreign aid on fiscal policy and economic growth depend on the circumstances of the recipient country, including its development level, the TFP, the efficiency of public investment, and in particular the government’s concern for the population’s welfare.

Suggested Citation

  • Ngoc-Sang PHAM & Thi Kim Cuong PHAM, 2019. "Foreign aid, recipient government’s fiscal behavior and economic growth," Working Papers of BETA 2019-22, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    • Handle: RePEc:ulp:sbbeta:2019-22
    as

    Download full text from publisher

    File URL: http://beta.u-strasbg.fr/WP/2019/2019-22.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Le Van, Cuong & Pham, Ngoc-Sang & Pham, Thi Kim Cuong, 2023. "Effects of development aid (grants and loans) on the economic dynamics of the recipient country," Mathematical Social Sciences, Elsevier, vol. 125(C), pages 101-112.
    2. Fengsheng Chien & Ka Yin Chau & Talla M. Aldeehani & Pham Quang Huy & Luc Phan Tan & Muhammad Mohsin, 2022. "Does external debt as a new determinants of fiscal policy influence sustainable economic growth: implications after COVID-19," Economic Change and Restructuring, Springer, vol. 55(3), pages 1717-1737, August.
    3. Jordan Signor & Julien Vandernoot, 2021. "Does Foreign Aid Contribute to HDI Improvement?," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 11(2), pages 1-2.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H5 - Public Economics - - National Government Expenditures and Related Policies
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

    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:ulp:sbbeta:2019-22. 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: the person in charge The email address of this maintainer does not seem to be valid anymore. Please ask the person in charge to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/bestrfr.html .

    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.