Ideas to Action:

Independent research for global prosperity

Publications

 

February 27, 2003

New Data, New Doubts: Revisiting "Aid, Policies, and Growth" - Working Paper 26

The Burnside and Dollar (2000) finding that aid raises growth in a good policy environment has had an important influence on policy and academic debates. We conduct a data gathering exercise that updates their data from 1970-93 to 1970-97, as well as filling in missing data for the original period 1970-93. We find that the BD finding is not robust to the use of this additional data. (JEL F350, O230, O400)

Ross Levine and David Roodman