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International trade theory has pointed out that factor accumulation could immiserize a country if it is sufficiently biased toward the export sector, or if it is biased toward an importcompeting sector in the presence of tariff protection. This paper analyzes the impact of aid, in the form of an increase in the capital stock used only in the nontraded sector, on real income. Yano and Nugent (1999) discussed this issue, but their analysis turned out to be incorrect. This paper demonstrates that whether aid in the form of an increase in capital specific to the nontraded sector reduces welfare depends on how aid affects the price of the nontraded good and on whether imports and the nontraded good are substitutes or complements in demand.
Book Synopsis Immiserizing Foreign Aid by : Mr.Stephen Tokarick
Download or read book Immiserizing Foreign Aid written by Mr.Stephen Tokarick and published by International Monetary Fund. This book was released on 2006-05-01 with total page 17 pages. Available in PDF, EPUB and Kindle. Book excerpt: International trade theory has pointed out that factor accumulation could immiserize a country if it is sufficiently biased toward the export sector, or if it is biased toward an importcompeting sector in the presence of tariff protection. This paper analyzes the impact of aid, in the form of an increase in the capital stock used only in the nontraded sector, on real income. Yano and Nugent (1999) discussed this issue, but their analysis turned out to be incorrect. This paper demonstrates that whether aid in the form of an increase in capital specific to the nontraded sector reduces welfare depends on how aid affects the price of the nontraded good and on whether imports and the nontraded good are substitutes or complements in demand.
This timely work presents cutting-edge analysis of the problems of U.S. foreign assistance programs - why these problems have not been solved in the past, and how they might be solved in the future. The book focuses primarily on U.S. foreign assistance and foreign policy as they apply to nation building, governance, and democratization. The expert contributors examine issues currently in play, and also trace the history and evolution of many of these problems over the years. They address policy concerns as well as management and organizational factors as they affect programs and policies. "Foreign Aid and Foreign Policy" includes several chapter-length case studies (on Iraq, Pakistan, Ghana, Haiti, and various countries in Eastern Europe and Africa), but the bulk of the book presents broad coverage of general topics such as foreign aid and security, NGOs and foreign aid, capacity building, and building democracy abroad. Each chapter offers recommendations on how to improve the U.S. system of aid in the context of foreign policy.
Book Synopsis Foreign Aid and Foreign Policy by : Louis A. Picard
Download or read book Foreign Aid and Foreign Policy written by Louis A. Picard and published by Routledge. This book was released on 2015-01-28 with total page 432 pages. Available in PDF, EPUB and Kindle. Book excerpt: This timely work presents cutting-edge analysis of the problems of U.S. foreign assistance programs - why these problems have not been solved in the past, and how they might be solved in the future. The book focuses primarily on U.S. foreign assistance and foreign policy as they apply to nation building, governance, and democratization. The expert contributors examine issues currently in play, and also trace the history and evolution of many of these problems over the years. They address policy concerns as well as management and organizational factors as they affect programs and policies. "Foreign Aid and Foreign Policy" includes several chapter-length case studies (on Iraq, Pakistan, Ghana, Haiti, and various countries in Eastern Europe and Africa), but the bulk of the book presents broad coverage of general topics such as foreign aid and security, NGOs and foreign aid, capacity building, and building democracy abroad. Each chapter offers recommendations on how to improve the U.S. system of aid in the context of foreign policy.
Book Synopsis Foreign Aid Reconsidered by : Roger Riddell
Download or read book Foreign Aid Reconsidered written by Roger Riddell and published by James Currey. This book was released on 1987 with total page 328 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Book Synopsis IMF Working Papers by : Stephen Tokarick
Download or read book IMF Working Papers written by Stephen Tokarick and published by . This book was released on 2006 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
International trade theory has pointed out that factor accumulation could immiserize a country if it is sufficiently biased toward the export sector, or if it is biased toward an import-competing sector in the presence of tariff protection. This paper analyzes the impact of aid, in the form of an increase in the capital stock used only in the nontraded sector, on real income. Yano and Nugent (1999) discussed this issue, but their analysis turned out to be incorrect. This paper demonstrates that whether aid in the form of an increase in capital specific to the nontraded sector reduces welfare depends on how aid affects the price of the nontraded good and on whether imports and the nontraded good are substitutes or complements in demand.
Book Synopsis Immiserizing Foreign Aid by : Stephen Tokarick
Download or read book Immiserizing Foreign Aid written by Stephen Tokarick and published by . This book was released on 2006 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: International trade theory has pointed out that factor accumulation could immiserize a country if it is sufficiently biased toward the export sector, or if it is biased toward an import-competing sector in the presence of tariff protection. This paper analyzes the impact of aid, in the form of an increase in the capital stock used only in the nontraded sector, on real income. Yano and Nugent (1999) discussed this issue, but their analysis turned out to be incorrect. This paper demonstrates that whether aid in the form of an increase in capital specific to the nontraded sector reduces welfare depends on how aid affects the price of the nontraded good and on whether imports and the nontraded good are substitutes or complements in demand.
Provided for over 60 years, and expanding more rapidly today than it has for a generation, foreign aid is now a $100bn business. But does it work? Indeed, is it needed at all? In this, first-ever, overall assessment of aid, Roger Riddell provides a rigorous but highly readable account of aid, warts and all. - ;Foreign aid is now a $100bn business and is expanding more rapidly today than it has for a generation. But does it work? Indeed, is it needed at all? Other attempts to answer this important question have been dominated by a focus on the impact of official aid provided by governments. But today possibly as much as 30 percent of aid is provided by Non-Governmental Organizations (NGOs), and over 10 percent is provided as emergency assistance. In this first-ever attempt to provide an overall assessment of aid, Roger Riddell presents a rigorous but highly readable account of aid, warts and all. Does Foreign Aid Really Work? sets out the evidence and exposes the instances where aid has failed and explains why. The book also examines the way that short-term political interests distort aid, and disentangles the moral and ethical assumptions that lie behind the belief that aid does good. The book concludes by detailing the practical ways that aid needs to change if it is to be the effective force for good that its providers claim it is. - ;This volume is a valuable resource and an important contribution to the literature on foreign aid. - Social and Behavioral sciences;Riddell provides a compelling and thorough account of the intricacies of foreign aid - International Affairs;...[an] excellent and significant book... - Alex De Waal, Times Literary Supplement;...everything anyone might want to know about the subject. - Nigel Grimwade, Times Higher Education Supplement;For anyone who wants to know more about development assistance, this is a 'must- read'. Roger Riddell provides us with a nuanced and honest outline of past and current aid-flows, their complexities, trends and possible impact. Does aid really work? His answer is a conditional, cautious - yes. And he presents some bold proposals to address some of the systemic weaknesses. It was strong international leadership that delivered the aid-reforms of the 90's. The question is whether the current leaders in development are ready for this debate? - Hilde Frafjord Johnson, former Minister of International Development of Norway;In this impressive new study, Riddell has surpassed even his distinguished Foreign Aid Reconsidered. It includes a rare and much-needed analysis of emergency and voluntary assistance. Complete and authoritative, the book will have a long life as the definitive account of its important subject. - Professor Robert Cassen, London School of Economics;This book is a heroic achievement. Not only has Roger Riddell mapped out with great clarity the arcane world of international aid, in a way that will help the practitioner as much as the general reader, he has also produced visionary and challenging recommendations for reform of the system. - Sir Michael Aaronson, former Director General of Save the Children UK
Book Synopsis Does Foreign Aid Really Work? by : Roger Riddell
Download or read book Does Foreign Aid Really Work? written by Roger Riddell and published by OUP Oxford. This book was released on 2007-04-19 with total page 552 pages. Available in PDF, EPUB and Kindle. Book excerpt: Provided for over 60 years, and expanding more rapidly today than it has for a generation, foreign aid is now a $100bn business. But does it work? Indeed, is it needed at all? In this, first-ever, overall assessment of aid, Roger Riddell provides a rigorous but highly readable account of aid, warts and all. - ;Foreign aid is now a $100bn business and is expanding more rapidly today than it has for a generation. But does it work? Indeed, is it needed at all? Other attempts to answer this important question have been dominated by a focus on the impact of official aid provided by governments. But today possibly as much as 30 percent of aid is provided by Non-Governmental Organizations (NGOs), and over 10 percent is provided as emergency assistance. In this first-ever attempt to provide an overall assessment of aid, Roger Riddell presents a rigorous but highly readable account of aid, warts and all. Does Foreign Aid Really Work? sets out the evidence and exposes the instances where aid has failed and explains why. The book also examines the way that short-term political interests distort aid, and disentangles the moral and ethical assumptions that lie behind the belief that aid does good. The book concludes by detailing the practical ways that aid needs to change if it is to be the effective force for good that its providers claim it is. - ;This volume is a valuable resource and an important contribution to the literature on foreign aid. - Social and Behavioral sciences;Riddell provides a compelling and thorough account of the intricacies of foreign aid - International Affairs;...[an] excellent and significant book... - Alex De Waal, Times Literary Supplement;...everything anyone might want to know about the subject. - Nigel Grimwade, Times Higher Education Supplement;For anyone who wants to know more about development assistance, this is a 'must- read'. Roger Riddell provides us with a nuanced and honest outline of past and current aid-flows, their complexities, trends and possible impact. Does aid really work? His answer is a conditional, cautious - yes. And he presents some bold proposals to address some of the systemic weaknesses. It was strong international leadership that delivered the aid-reforms of the 90's. The question is whether the current leaders in development are ready for this debate? - Hilde Frafjord Johnson, former Minister of International Development of Norway;In this impressive new study, Riddell has surpassed even his distinguished Foreign Aid Reconsidered. It includes a rare and much-needed analysis of emergency and voluntary assistance. Complete and authoritative, the book will have a long life as the definitive account of its important subject. - Professor Robert Cassen, London School of Economics;This book is a heroic achievement. Not only has Roger Riddell mapped out with great clarity the arcane world of international aid, in a way that will help the practitioner as much as the general reader, he has also produced visionary and challenging recommendations for reform of the system. - Sir Michael Aaronson, former Director General of Save the Children UK
Top experts in the field discuss how to improve the effectiveness of foreign aid, proposing practical solutions to specific problems rather than a utopian master plan. The urgency of reducing poverty in the developing world has been the subject of a public campaign by such unlikely policy experts as George Clooney, Alicia Keyes, Elton John, Angelina Jolie, and Bono. And yet accompanying the call for more foreign aid is an almost universal discontent with the effectiveness of the existing aid system. In Reinventing Foreign Aid, development expert William Easterly has gathered top scholars in the field to discuss how to improve foreign aid. These authors, Easterly points out, are not claiming that their ideas will (to invoke a current slogan) Make Poverty History. Rather, they take on specific problems and propose some hard-headed solutions. Easterly himself, in an expansive and impassioned introductory chapter, makes a case for the “searchers”—who explore solutions by trial and error and learn from feedback—over the “planners”—who throw an endless supply of resources at a big goal—as the most likely to reduce poverty. Other writers look at scientific evaluation of aid projects (including randomized trials) and describe projects found to be cost-effective, including vaccine delivery and HIV education; consider how to deal with the government of the recipient state (work through it or bypass a possibly dysfunctional government?); examine the roles of the International Monetary Fund (a de-facto aid provider) and the World Bank; and analyze some new and innovative proposals for distributing aid. Contributors Abhijit Banerjee, Nancy Birdsall, Craig Burnside, Esther Duflo, Domenico Fanizza, William Easterly, Ruimin He, Kurt Hoffman, Stephen Knack, Michael Kremer, Mari Kuraishi, Ruth Levine, Bertin Martens, John McMillan, Edward Miguel, Jonathan Morduch, Todd Moss, Gunilla Pettersson, Lant Pritchett, Steven Radelet, Aminur Rahman, Ritva Reinikka, Jakob Svensson, Nicolas van de Walle, James Vreeland, Dennis Whittle, Michael Woolcock
Book Synopsis Reinventing Foreign Aid by : William R. Easterly
Download or read book Reinventing Foreign Aid written by William R. Easterly and published by MIT Press. This book was released on 2008-05-09 with total page 581 pages. Available in PDF, EPUB and Kindle. Book excerpt: Top experts in the field discuss how to improve the effectiveness of foreign aid, proposing practical solutions to specific problems rather than a utopian master plan. The urgency of reducing poverty in the developing world has been the subject of a public campaign by such unlikely policy experts as George Clooney, Alicia Keyes, Elton John, Angelina Jolie, and Bono. And yet accompanying the call for more foreign aid is an almost universal discontent with the effectiveness of the existing aid system. In Reinventing Foreign Aid, development expert William Easterly has gathered top scholars in the field to discuss how to improve foreign aid. These authors, Easterly points out, are not claiming that their ideas will (to invoke a current slogan) Make Poverty History. Rather, they take on specific problems and propose some hard-headed solutions. Easterly himself, in an expansive and impassioned introductory chapter, makes a case for the “searchers”—who explore solutions by trial and error and learn from feedback—over the “planners”—who throw an endless supply of resources at a big goal—as the most likely to reduce poverty. Other writers look at scientific evaluation of aid projects (including randomized trials) and describe projects found to be cost-effective, including vaccine delivery and HIV education; consider how to deal with the government of the recipient state (work through it or bypass a possibly dysfunctional government?); examine the roles of the International Monetary Fund (a de-facto aid provider) and the World Bank; and analyze some new and innovative proposals for distributing aid. Contributors Abhijit Banerjee, Nancy Birdsall, Craig Burnside, Esther Duflo, Domenico Fanizza, William Easterly, Ruimin He, Kurt Hoffman, Stephen Knack, Michael Kremer, Mari Kuraishi, Ruth Levine, Bertin Martens, John McMillan, Edward Miguel, Jonathan Morduch, Todd Moss, Gunilla Pettersson, Lant Pritchett, Steven Radelet, Aminur Rahman, Ritva Reinikka, Jakob Svensson, Nicolas van de Walle, James Vreeland, Dennis Whittle, Michael Woolcock
An economic analysis of the theory, modelling and history of international transfers.
Book Synopsis The Economics of International Transfers by : Steven Brakman
Download or read book The Economics of International Transfers written by Steven Brakman and published by Cambridge University Press. This book was released on 1998-12-10 with total page 233 pages. Available in PDF, EPUB and Kindle. Book excerpt: An economic analysis of the theory, modelling and history of international transfers.
This book proposes a new, pragmatic way of approaching economic development which features policy learning based on a comparison of international best policy practices. While the important role of government in promoting private sector development is being recognized, policy discussion often remains general without details as to what exactly to do and how to avoid common pitfalls. This book fills the gap by showing concrete policy contents, procedures, and organizations adopted in high-performing East Asian economies. Natural resources and foreign aid and investment can take a country to a certain income level, but growth stalls when given advantages are exhausted. Economies will be caught in middle income traps if growth impetus is not internally generated. Meanwhile, countries that have soared to high income introduced mindset, policies, and institutions that encouraged, or even forced, accumulation of human capital – skills, technology, and knowledge. How this can be done systematically is the main topic of policy learning. However, government should not randomly adopt what Singapore or Taiwan did in the past. A continued march to prosperity is possible only when policy makers acquire capability to formulate policy suitable for local context after studying a number of international experiences. Developing countries wanting to adopt effective industrial strategies but not knowing where to start will benefit greatly by the ideas and hands-on examples presented by the author. Students of development economics will find a new methodological perspective which can supplement the ongoing industrial policy debate. The book also gives an excellent account of national pride and pragmatism exhibited by officials in East Asia who produced remarkable economic growth, as well as serious effort by an African country to emulate this miracle. The Open Access version of this book, available at http://www.taylorfrancis.com/doi/view/10.4324/9780203085530 has been made available under a Creative Commons Attribution-Non Commercial-No Derivatives 4.0 license.
Book Synopsis Learning to Industrialize by : Kenichi Ohno
Download or read book Learning to Industrialize written by Kenichi Ohno and published by Routledge. This book was released on 2014-04-03 with total page 369 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book proposes a new, pragmatic way of approaching economic development which features policy learning based on a comparison of international best policy practices. While the important role of government in promoting private sector development is being recognized, policy discussion often remains general without details as to what exactly to do and how to avoid common pitfalls. This book fills the gap by showing concrete policy contents, procedures, and organizations adopted in high-performing East Asian economies. Natural resources and foreign aid and investment can take a country to a certain income level, but growth stalls when given advantages are exhausted. Economies will be caught in middle income traps if growth impetus is not internally generated. Meanwhile, countries that have soared to high income introduced mindset, policies, and institutions that encouraged, or even forced, accumulation of human capital – skills, technology, and knowledge. How this can be done systematically is the main topic of policy learning. However, government should not randomly adopt what Singapore or Taiwan did in the past. A continued march to prosperity is possible only when policy makers acquire capability to formulate policy suitable for local context after studying a number of international experiences. Developing countries wanting to adopt effective industrial strategies but not knowing where to start will benefit greatly by the ideas and hands-on examples presented by the author. Students of development economics will find a new methodological perspective which can supplement the ongoing industrial policy debate. The book also gives an excellent account of national pride and pragmatism exhibited by officials in East Asia who produced remarkable economic growth, as well as serious effort by an African country to emulate this miracle. The Open Access version of this book, available at http://www.taylorfrancis.com/doi/view/10.4324/9780203085530 has been made available under a Creative Commons Attribution-Non Commercial-No Derivatives 4.0 license.
Abstract: The inflow of large quantities of foreign aid into Rwanda since 1994 can have potential adverse effects such as aid dependency via a significant negative effect on tax efforts and on public investments. This paper carries out a theoretical and empirical study to examine these issues. The theoretical part develops a model in which the recipient government decides on the optimal level of tax and optimally allocates total government revenue between current expenditure and public investment. The theoretical model makes it possible to empirically test whether an increase in aid is likely to reduce the optimal tax rate and the proportion of public expenditure allocated to public investment. The econometric analysis uses time series data on Rwanda to show, in line with other studies in the literature, a negative relationship between increased aid and the tax rate; but the magnitude of the effects are extremely small. In the case of Rwanda, reforms to the tax administration and expansion of the tax base have had mitigating effects. As far as the effect on public investment, the overall effect was negative in the past; however, since 1995 the direction of this effect has changed.
Book Synopsis The Fiscal Impact of Foreign Aid in Rwanda: a Theoretical and Empirical Analysis. by : Kene Ezemenari Ephraim Kebede and Sajal Lahiri
Download or read book The Fiscal Impact of Foreign Aid in Rwanda: a Theoretical and Empirical Analysis. written by Kene Ezemenari Ephraim Kebede and Sajal Lahiri and published by World Bank Publications. This book was released on 2008 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: Abstract: The inflow of large quantities of foreign aid into Rwanda since 1994 can have potential adverse effects such as aid dependency via a significant negative effect on tax efforts and on public investments. This paper carries out a theoretical and empirical study to examine these issues. The theoretical part develops a model in which the recipient government decides on the optimal level of tax and optimally allocates total government revenue between current expenditure and public investment. The theoretical model makes it possible to empirically test whether an increase in aid is likely to reduce the optimal tax rate and the proportion of public expenditure allocated to public investment. The econometric analysis uses time series data on Rwanda to show, in line with other studies in the literature, a negative relationship between increased aid and the tax rate; but the magnitude of the effects are extremely small. In the case of Rwanda, reforms to the tax administration and expansion of the tax base have had mitigating effects. As far as the effect on public investment, the overall effect was negative in the past; however, since 1995 the direction of this effect has changed.
