Aid effectiveness: Human rights as a conditionality measure
Mustapha Douch,
Huw Edwards,
Todd Landman and
Sushanta Mallick
World Development, 2022, vol. 158, issue C
Abstract:
The ‘aid conditionality’ hypothesis as documented in the literature suggests that aid is effective in augmenting growth only in the presence of a sound policy environment. This hypothesis was so influential that its policy recommendation, to provide aid conditional upon recipient domestic policies, is currently the dominant ODA allocation criterion. However non-economic dimensions of development (political and institutional) are increasingly seen as fundamental. For this reason, this paper focuses on the linkage between aid and a non-economic factor like Human Rights (reflecting repression and corruption) as a measure of aid effectiveness, in explaining growth outcomes across 42 Least Developed economies. We find that countries with better protection of human rights experience positive growth from aid receipts, signifying the role of stronger institutions in enabling more effective use of aid. The paper thus concludes that the measurement and monitoring of human rights provision is a useful tool in gauging the likely effectiveness of foreign aid.
Keywords: Human rights; aid effectiveness; Corruption; Oligarchy (search for similar items in EconPapers)
JEL-codes: F35 O19 P16 P40 (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (3)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:158:y:2022:i:c:s0305750x22001681
DOI: 10.1016/j.worlddev.2022.105978
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