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Aid Effectiveness - Opening the Black Box

The debate about what works and what does not in the aid business is among the many topics on the agenda of policymakers and business leaders at the 2007 World Economic Forum in Davos.  A recent World Bank paper on the subject  was presented on January 6, 2007 at the American Economics Association annual meeting. It examines the complex links between aid flows and development outcomes.
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Authored by Chief Economist François Bourguignon and Lead Economist Mark Sundberg, the paper argues that there are no simple cause and effect answers in this debate, making attribution difficult. It examines what is known about aid effectiveness along different links in the causality chain.  The paper then turns to recent trends in the way aid is delivered and the new model that appears to be emerging.   PDF (182KB)

François Bourguignon, Sr. Vice President and Chief Economist, World Bank










Related Reading

Making Aid Work by Mark Sundberg and Alan Gelb, Finance and Development, Vol. 43, No. 4 Dec 2006.
Global Monitoring Report 2006 - Strengthening Mutual Accountability - Aid, Trade & Governance, by the World Bank and International Monetary Fund, April 20, 2006.
Development and Aid Effectiveness: What have we learned, what are we doing, where are we going? Knowledge in Development Note, Development Research Group, World Bank.

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