Budget Support Versus Project Aid /

Should donors who are interested in the effectiveness of developmental programs rely on conditional budget support or on project aid? To answer this question, we present a model in which only a subset of the developmental expenditures can be subject to conditionality. We show that budget support is...

Ausführliche Beschreibung

Bibliographische Detailangaben
1. Verfasser: Cordella, Tito
Weitere Verfasser: Dell'Ariccia, Giovanni
Format: Zeitschrift
Sprache:English
Veröffentlicht: Washington, D.C. : International Monetary Fund, 2003.
Schriftenreihe:IMF Working Papers; Working Paper ; No. 2003/088
Online Zugang:Full text available on IMF
Beschreibung
Zusammenfassung:Should donors who are interested in the effectiveness of developmental programs rely on conditional budget support or on project aid? To answer this question, we present a model in which only a subset of the developmental expenditures can be subject to conditionality. We show that budget support is preferable to project aid when donors and recipients' preferences are aligned, and when assistance is small relative to recipients' resources. Then, we test our model estimating a modified growth model for a panel of developing countries, and find evidence in support of our predictions.
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Beschreibung:1 online resource (32 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Zugangseinschränkungen:Electronic access restricted to authorized BRAC University faculty, staff and students