Aid Policy and the Macroeconomic Management of Aid
World Development 03/2014; DOI: 10.1016/j.worlddev.2014.02.009
Posted: 28 Oct 2014
Date Written: March 2014
Abstract
This is an introduction to the UNU-WIDER special issue of World Development on aid policy and the macroeconomic management of aid. We provide an overview of the 10 studies, grouping them under three sub-themes: the aid–growth relationship; the supply-side of aid (including its level, volatility, and coordination of donors); and the macroeconomic framework around aid. The studies in the special issue demonstrate the centrality of research methodology, the importance of disaggregation, and the need to account for country-specific situations and problems. This introduction concludes that the sometimes “over heated” debate on aid needs redirecting toward more rigorous analysis, in which the advantages — and disadvantages — of using aid for development can be evaluated in a calmer manner.
Keywords: foreign aid, development finance, aid effectiveness, aid coordination, macroeconomic policy
Suggested Citation: Suggested Citation