Does foreign aid promote aggregate economic growth? In contrast to widespread perceptions, academic studies of this question have been rapidly converging towards a positive answer. We employ a simulation approach to (i) validate the coherence of recent em

The micro-macro paradox has been revived. Despite broadly positive evaluations at the micro and meso-levels, recent literature has turned decidedly pessimistic with respect to the ability of foreign aid to foster economic growth. Policy implications, such as the complete cessation of aid to...

Controversy over the aggregate impact of foreign aid has focused on reduced form estimates of the aid-growth link. The causal chain, through which aid affects developmental outcomes including growth, has received much less attention. We address this gap by: (i) specifying a structural model of...

This paper confirms recent evidence of a positive impact of aid on growth and widens the scope of evaluation to a range of outcomes including proximate sources of growth (e.g., physical and human capital), indicators of social welfare (e.g., poverty and i

At the very time that professional skepticism concerning the effectiveness of foreign aid has reached new heights, donors seem to be ready to substantially increase the volume of aid they are willing to make available. This paper attempts to address this paradox by first examining the record of...

A recent study of 36 sub-Saharan African countries found a positive impact of aid in the absolute majority of these countries. However, for Tanzania and Ghana, two major aid recipients, aid did not seem to have been equally beneficial. This paper singles

The Mexico City Policy (MCP) prohibits the United States Agency for International Development from providing aid to international non-governmental organizations that provide abortion-related services. This paper employs a panel data of 151 developing coun

The main objective of the paper is to determine the actual aid flows that have an environmental focus in Burkina Faso. The environment literature highlights important environment issues in air, land and water, including deforestation, desertification, irr

We investigate allocations of foreign aid by donors to the environment sector in Kenya covering the period 2001-12. Our data are largely obtained from official government and global aid databases complemented with donor interviews. We find that donor fund

This paper primarily focuses on how global funding has supported interventions that have proven to be successful in reducing maternal, newborn, and child mortality around the world. The growth rate of development assistance targeted towards these specific