On the Impact of Foreign Aid in Education on Growth: How Relevant is the Heterogeneity of Aid Flows and the Heterogeneity of Aid Recipients?

Elizabeth Asiedu and Boaz Nandwa

No 200701, WORKING PAPERS SERIES IN THEORETICAL AND APPLIED ECONOMICS from University of Kansas, Department of Economics

Abstract: This paper examines whether foreign aid in education has a significant effect on growth. We take into consideration the heterogeneous nature of aid as well as the heterogeneity of aid recipients—we disaggregate the aid data into primary, secondary and higher education, and run separate regressions for low income and middle income countries. We find that the effect of aid varies by income as well as by the type of aid. Thus our results underscore the importance of the heterogeneity of aid flows as well as the heterogeneity of recipient countries when analyzing the effect of aid on growth.

Keywords: Education; Foreign Aid; Growth. (search for similar items in EconPapers)
JEL-codes: F34 F35 I20 O19 (search for similar items in EconPapers)
Pages: 27 pages
Date: 2007-07
New Economics Papers: this item is included in nep-afr, nep-dev, nep-edu and nep-hrm
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Citations: View citations in EconPapers (80)

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Journal Article: On the Impact of Foreign Aid in Education on Growth: How Relevant Is the Heterogeneity of Aid Flows and the Heterogeneity of Aid Recipients? (2007)
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