Ideas to Action:

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March 10, 2014

Hating on the Hurdle: Reforming the Millennium Challenge Corporation’s Approach to Corruption

The Millennium Challenge Corporation is a US agency that provides results-oriented assistance to low- and lower-middle income countries that exhibit strong performance on a number of measures of development. Among these measures is the Worldwide Governance Indicator for control of corruption. A country must score in the top half of its income group on control of corruption to pass the overall selection procedure. This paper examines the empirical underpinning of this “corruption hard hurdle.”