By Panos Hatzipanayotou, Michael S. Michael (auth.), Kanhaya L. Gupta (eds.)
Foreign reduction has been a space of energetic scholarly research because the finish of the second one international warfare, yet rather because the early Fifties whilst a great number of the erstwhile colonies grew to become self sustaining. Few components of public coverage regarding the constructed and constructing nations have aroused extra ardour and ideological debate than international relief.
regardless of the big volume of study within the box, there's nonetheless now not sufficient paintings in components: the 1st consists of the mechanisms during which relief affects the economies of the donor and the recipient nations; and the second one, country-specific checks of the effectiveness of overseas reduction. Foreign reduction: New Perspectives is geared toward creating a contribution in those components.
The contents of this quantity are divided into 4 elements. half I offers with a few theoretical elements of international relief, whereas the second one half analyzes a few normal coverage elements. half III turns to the donor adventure and contains one paper at the Danish event. The final half considers the recipient adventure and includes 5 case studies.
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Extra resources for Foreign Aid: New Perspectives
Example text
P. Raimondos-M",lIer, K-y. Wong and A. Woodland, 1997, Optimal income transfers and tariffs, EPRU Working Paper 97-06, Copenhagen Business School. K. Nissanke, 1984, Motivation for aid to developing countries, World Development, 12, 879-900. D. and R. Little, 1977, A foreign policy model of US bilateral aid allocation, World Politics 30, 58-86. , 1974, Tariffs and transfer problem, Keio Economic Studies, 11,29-45. , 1990, On the welfare effects of tied aid, International Economic Review 31, 2, 457-462.
C. -Y. Wong, 1993, Paradoxes associated with the administration offoreign aid, Journal of Development Economics, 42, 197-204. M. M. S. military and non-military assistance and the impacts on major aid recipients, Journal ofDevelopment Economics 43, 345-362. Lahiri, S. and P. Raimondos-MIIlller, 1995, Welfare effects of aid under quantitative trade restrictions, Journal ofInternational Economics 39,297-315. , P. Raimondos-M",lIer, 1997, On the tying of aid to tariff reform, Journal of Development Economics, 54, 479-491.
In the present context, and regardless of how foreign aid is used, the income transfer affects welfare in the two countries directly, and indirectly due to terms of trade induced changes in the countries income, and in the recipient country's unemployment ratio directly and indirectly through maintaining a balanced government budget. As expected, the direct effect is negative for the donor and positive for the recipient country, while the indirect effect depends, to a large extent, on the impact of foreign aid on the terms of trade.