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Foreign Aid for DevelopmentIssues, Challenges, and the New Agenda$
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George Mavrotas

Print publication date: 2010

Print ISBN-13: 9780199580934

Published to Oxford Scholarship Online: May 2010

DOI: 10.1093/acprof:oso/9780199580934.001.0001

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Towards the Enhanced Effectiveness of Foreign Aid

Towards the Enhanced Effectiveness of Foreign Aid

Chapter:
(p.57) 3 Towards the Enhanced Effectiveness of Foreign Aid
Source:
Foreign Aid for Development
Author(s):

Gustav Ranis

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199580934.003.0003

At the very time that professional scepticism concerning the effectiveness of foreign aid has reached new heights, donors seem to be ready to substantially increase the volume of aid they are willing to make available. This paper attempts to address this paradox by first examining the record of aid in the past, distinguishing between cross-country regressions and select country experience. It subsequently proceeds to propose the establishment of a new modus operandi for foreign aid, based on a much more passive, banker-like posture by donors, leaving the initiative for defining what reforms are feasible, plus the establishment of self-conditionality, to third world recipients before they approach the international community of donors.

Keywords:   foreign aid, development

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