Does foreign aid improve governance?

Matthias Busse and Steffen Gröning

Economics Letters, 2009, vol. 104, issue 2, pages 76-78

Abstract: This paper analyses the impact of aid flows on governance. Using an instrumental variable approach and a large country sample, we find that aid has a negative rather than a positive influence on governance. This outcome is robust to various model specifications.

Keywords: Official; development; assistance; Governance (search for similar items in EconPapers)
Date: 2009
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Persistent link: http://EconPapers.repec.org/RePEc:eee:ecolet:v:104:y:2009:i:2:p:76-78

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