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Long-Run Effects of Aid: Forecasts and Evidence from Sierra Leone

Author

Listed:
  • Katherine Casey
  • Rachel Glennerster
  • Edward Miguel
  • Maarten Voors
Abstract
We evaluate the long-run effects of a decentralised approach to economic development called community-driven development—a prominent strategy for delivering foreign aid—by revisiting a randomised community-driven development program in Sierra Leone 11 years after launch. We estimate large persistent gains in local public goods and market activity, and modest positive effects on institutions. There is suggestive evidence that community-driven development may have slightly improved the communities’ response to the 2014 Ebola epidemic. We compare estimates to the forecasts of experts from Sierra Leone and abroad, working in policy and academia, and find that local policymakers are overly optimistic about the effectiveness of community-driven development.

Suggested Citation

  • Katherine Casey & Rachel Glennerster & Edward Miguel & Maarten Voors, 2023. "Long-Run Effects of Aid: Forecasts and Evidence from Sierra Leone," The Economic Journal, Royal Economic Society, vol. 133(652), pages 1348-1370.
    • Handle: RePEc:oup:econjl:v:133:y:2023:i:652:p:1348-1370.
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    File URL: http://hdl.handle.net/10.1093/ej/uead001
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    Cited by:

    1. Alfonsi, Livia & Bauer, Michal & Chytilová, Julie & Miguel, Edward, 2024. "Human capital affects religious identity: Causal evidence from Kenya," Journal of Development Economics, Elsevier, vol. 167(C).
    2. Fiala, Nathan & Rose, Julian & Aryemo, Filder & Peters, Jörg, 2022. "The (very) long-run impacts of cash grants during a crisis," Ruhr Economic Papers 961, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    More about this item

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development

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