Aid allocation with optimal monitoring: Theory and policy
成果类型:
Article
署名作者:
Bourguignon, Francois; Platteau, Jean-Philippe
署名单位:
Paris School of Economics; University of Namur
刊物名称:
JOURNAL OF DEVELOPMENT ECONOMICS
ISSN/ISSBN:
0304-3878
DOI:
10.1016/j.jdeveco.2024.103364
发表日期:
2025
关键词:
摘要:
We explore the implications of allowing a poverty-averse donor to monitor aid use within the familiar context of the needs vs. aid effectiveness tradeoff. The paper focuses on the optimal aid allocation between countries when the donor simultaneously decides about aid shares and country-specific monitoring effort at increasing the amount reaching the poor. Endogenizing aid effectiveness is shown to raise the poor's income in the worse-governed country, yet not necessarily in the better-governed one, whereas the effect on country shares is essentially ambiguous. Those results still hold when the basic model is extended in various directions. Conventional aid allocation rules should be re-examined in their light.
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