The Return to Foreign Aid
Publikation: Bidrag til tidsskrift › Tidsskriftartikel › Forskning › fagfællebedømt
Standard
The Return to Foreign Aid. / Dalgaard, Carl-Johan Lars; Hansen, Henrik.
I: Journal of Development Studies, Bind 53, Nr. 7, 19.06.2017, s. 998-1018.Publikation: Bidrag til tidsskrift › Tidsskriftartikel › Forskning › fagfællebedømt
Harvard
APA
Vancouver
Author
Bibtex
}
RIS
TY - JOUR
T1 - The Return to Foreign Aid
AU - Dalgaard, Carl-Johan Lars
AU - Hansen, Henrik
PY - 2017/6/19
Y1 - 2017/6/19
N2 - We estimate the average rate of return on investments financed by aid and by domestic resource mobilisation, using aggregate data. Both returns are expected to vary across countries and time. Consequently we develop a correlated random coefficients model to estimate the average returns. Across different estimators andtwo different data sources for GDP and investment our findings are remarkably robust; the average gross return on ‘aid investments’ is about 20 per cent. This is in accord with micro estimates of the economic rate of return on aid projects and with aggregate estimates of the rate of return on public capital.
AB - We estimate the average rate of return on investments financed by aid and by domestic resource mobilisation, using aggregate data. Both returns are expected to vary across countries and time. Consequently we develop a correlated random coefficients model to estimate the average returns. Across different estimators andtwo different data sources for GDP and investment our findings are remarkably robust; the average gross return on ‘aid investments’ is about 20 per cent. This is in accord with micro estimates of the economic rate of return on aid projects and with aggregate estimates of the rate of return on public capital.
U2 - 10.1080/00220388.2017.1303674
DO - 10.1080/00220388.2017.1303674
M3 - Journal article
VL - 53
SP - 998
EP - 1018
JO - Journal of Development Studies
JF - Journal of Development Studies
SN - 0022-0388
IS - 7
ER -
ID: 171651739