Publication
Mar 2009
This paper examines the effects of foreign aid on the bureaucratic quality of recipient countries. The authors show that the mode of delivery significantly affects the impact of aid on bureaucratic quality. Specifically, grants are found to impair the functioning of the bureaucracy, whereas loans are not. The paper concludes that the negative impact of grants is larger when they are given as budget support rather than as assistance for specific projects or for programs in general.
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English (PDF, 17 pages, 586 KB) |
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Author | Pablo Selaya, Rainer Thiele |
Series | Kiel Institute Working Papers |
Issue | 1494 |
Publisher | Kiel Institute for the World Economy |
Copyright | © 2009 Kiel Institute for the World Economy |