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The macroeconomic impact of development aid: A critical survey
Abstract
The early literature explained aid's macroeconomic impact in the context of the dual gap model, showing a clear link between aid and growth. Many now believe that the empirical evidence shows there to be no such relationship. This paper critically reviews the different theoretical perspectives ‐the dual gap model, the savings debate, recipient fiscal response, and aid as Dutch disease — and the empirical debates on aid, savings and growth. The basis for denying a relationship between aid and growth is shown to be weak, though more recent areas of research offer promising directions for future work.
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Citations
Cites
Booming Sector and De-Industrialisation in a Small Open Economy
Corden, W. M., & Neary, J. P. (1982) · The Economic Journal · doi:10.2307/2232670 · Cited by 3,298
Cited by
Aid allocation and poverty reduction
Collier, P., & Dollar, D. (2002) · European Economic Review · doi:10.1016/s0014-2921(01)00187-8 · Cited by 928
Hansen, H., & Tarp, F. (2000) · Journal of International Development · doi:10.1002/(sici)1099-1328(200004)12:3<375::aid-jid657>3.0.co;2-m · Cited by 853
Workers' Remittances and the Real Exchange Rate: A Paradox of Gifts
Amuedo-Dorantes, C., & Pozo, S. (2004) · World Development · doi:10.1016/j.worlddev.2004.02.004 · Cited by 577
Metadata
- Authors
- White, H.
- Venue
- Journal of Development Studies
- Publisher
- Informa UK Limited
- Published
- 1992-01
- Volume
- 28
- Issue
- 2
- Pages
- 163-240
- ISSN
- 0022-0388 (ISSN-L)
- 1743-9140
- OpenAlex
- W2015105792
- Cited by
- 299
- References
- 1
- FWCI
- 15.45
- Type
- journal article
- Language
- en
- Open access
- closed
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- White, H. (1992). The macroeconomic impact of development aid: A critical survey. Journal of Development Studies. https://doi.org/10.1080/00220389208422230
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