Finally a breakthrough? The recent rise in the size of the estimates of aid effectiveness

Chris Doucouliagos and Martin Paldam

Economics Working Papers from Department of Economics and Business Economics, Aarhus University

Abstract: The authors have previously surveyed the AEL, aid (empirical) effectiveness literature, using the technique of meta-analysis. We reached the result that the small positive effect of aid on growth found in the average study is mostly a publication selection bias. This present study concentrates on the new literature from 2007 onward which is divided into: Period (A) 2007-08: where the AEL showed aid ineffectiveness. Period (B) 2009-12: where the results are better. Three hypotheses may explain the upward kink in the results: (i) Aid effectiveness has increased. (ii) A breakthrough has occurred in the models and estimators. (iii) The improvement is an artifact. Unfortunately the data support the third hypothesis only.

Keywords: Aid effectiveness; meta-analysis (search for similar items in EconPapers)
JEL-codes: B41 F35 (search for similar items in EconPapers)
Pages: 30
Date: 2014-02-03
New Economics Papers: this item is included in nep-eff and nep-sog
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:aah:aarhec:2014-07

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