By Wil Hout

The first prolonged research of selectivity guidelines of significant bilateral and multilateral reduction donors, this publication combines a policy-analytical with a quantitative-empirical technique.

Bringing out the conflicts which may exist among overseas counsel agendas and the need of governments in constructing nations to set priorities for his or her nationwide improvement rules, the author:

  • describes intimately the rules of reduction selectivity followed by way of the area financial institution, the Netherlands and the U.S. because the finish of the Nineteen Nineties together with the underlying assumptions
  • looks at key judgements concerning a range of constructing countries
  • compares policy-making and various techniques to selectivity within the uk with these in constructing countries.

Critical and analytical standard, this booklet is, between different components, a useful source for college kids of varied sub-fields of improvement experiences and coverage research in addition to beautiful to researchers and coverage makers operating within the quarter of international suggestions around the globe.

 

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Extra info for The Politics of Aid Selectivity: Good Governance Criteria in World Bank, U.S. and Dutch Development Assistance

Example text

The achievement of the international development targets would, in the view of the industrialised countries that make up the OECD, not be the sole responsibility of the donors. The attachment of policy conditionalities to aid programmes was no longer felt to be sufficiently effective (Killick et al. 1998: 161–7; Collier 2000: 300–3). It was argued that past experience had demonstrated that developing countries have insufficient incentives to adopt policies in exchange for aid – which led to the much quoted statement, ‘Aid does not buy policy reform’ – and that new means had to be found to ensure implementation of sound policies.

The development of markets and institutions for credit and payments is taken to be a necessary condition to achieve higher degrees of specialisation and a more complex division of labour. This change is assumed to produce a change in contractual forms: rent and share contracts will give way to fixed wage contracts, which will gradually become the dominant form. Gradually, the state takes the place of traditional institutions and steadily assumes responsibilities in regulation, tax collection and the production of collective goods.

The Assessing Aid report used an ‘index of economic management’, which was calculated as the weighted sum of the inflation rate, the budget surplus, trade openness and institutional quality (World Bank 1998: 121–3). The latter was a composite of indicators related to bureaucracy, corruption, the rule of law, the risk of expropriation, nationalisation and breach of contract. The Assessing Aid report arrived at similar findings as Burnside and Dollar’s earlier study: during the 1970–93 period, aid was found to have a positive effect on economic growth in countries with good economic management.

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