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Foreign Aid and Inclusive Development: Updated Evidence from Africa, 2005–2012

Asongu, Simplice A. ; Nwachukwu, Jacinta C.

Social science quarterly, 2017-03, Vol.98 (1), p.282-298 [Periódico revisado por pares]

Oxford: Wiley (Variant)

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  • Título:
    Foreign Aid and Inclusive Development: Updated Evidence from Africa, 2005–2012
  • Autor: Asongu, Simplice A. ; Nwachukwu, Jacinta C.
  • Assuntos: Assistance ; Banking ; Comparative Social Studies ; Debts ; Developing countries ; Development strategies ; Economic development ; Economic sectors ; Foreign aid ; Humanitarianism ; Inequality ; LDCs ; Poverty
  • É parte de: Social science quarterly, 2017-03, Vol.98 (1), p.282-298
  • Notas: Simplice A. Asongu shall share all data and coding for replication purposes. The authors are indebted to the editor and referees for constructive comments.
  • Descrição: Objective. Motivated by the April 2015 World Bank Publication on MDGs, which reveals that poverty has been declining in all regions of the world with the exception of African countries, this study investigates the effects of a plethora of foreign aid dynamics on inequality-adjusted human development. Methods. Contemporary and noncontemporary OLS, fixed effects, and a system GMM technique with forward orthogonal deviations are employed. The empirical evidence is based on an updated sample of 53 African countries for the period 2005–2012. Results. The following findings are established. First, the impacts of aid dynamics with high degrees of substitution are positive. These include aid for: social infrastructure, economic infrastructure, the productive sector, and multisectors. Second, the effect of humanitarian assistance is consistently negative across specifications and models. Third, the effects of program assistance and action on debt are ambiguous because they become positive with the GMM technique. Conclusions. Justifications for these changes and clarifications with respect to existing literature are provided. Policy implications are discussed in light of the post-2015 development agenda. We also provide some recommendations for a rethinking of theories and models on which development assistance is based.
  • Editor: Oxford: Wiley (Variant)
  • Idioma: Inglês
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  • Realização: ABCD-USP USP   Logos de Redes Sociais: Freepik

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