Aid and growth regressions

• 成果类型: Article
• 署名作者: Hansen, H; Tarp, F
• 署名单位: University of Copenhagen
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/S0304-3878(00)00150-4
• 发表日期: 2001
• 页码: 547-570
• 关键词: aid impact; Economic growth; INVESTMENT; generalized method of moments; panel data

摘要

This paper examines the relationship between foreign aid and growth in real GDP per capita as it emerges from simple augmentations of popular cross-country growth specifications. It is shown that aid in all likelihood increases the growth rate, and this result is not conditional on 'good' policy. There are, however, decreasing returns to aid, and the estimated effectiveness of aid is highly sensitive to the choice of estimator and the set of control variables. When investment and human capital are controlled for, no positive effect of aid is found. Yet, aid continues to impact on growth via investment. We conclude by stressing the need for more theoretical work before this kind of cross-country regression is used for policy purposes. (C) 2001 Elsevier Science B.V. All rights reserved.