the Institute of Development Studies and partner organisations
Browse

File(s) not publicly available

Does Aid Reduce Poverty?

report
posted on 2024-09-05, 21:33 authored by Juliana Yael Milovich
Fifty years of literature on aid effectiveness has so far proven inconclusive. Two main challenges still require some attention. The first is to properly identify the causal effect of aid on poverty alleviation. To address it, I exploit differences in the number of years countries have been temporary members of the United Nations Security Council as an instrument for the average amount of economic aid disbursed by the United States. The second is to obtain reliable data on poverty, which I confront by using multidimensional poverty data from the Oxford Poverty and Human Development Initiative (OPHI). For a sample of 64 developing countries, I estimate a significant relationship between higher amounts of aid received during the period 1946–1999 and lower Multidimensional Poverty Index (MPI) between 2000 and 2014. On the contrary, the relationship does not seem to be significant when poverty is measured from an income perspective. Alternative measures of poverty could help improve the understanding of the relationship between development aid and poverty alleviation and might also contribute to improved targeting for aid disbursements.||

History

Publisher

University of Oxford

Citation

Milovich, J. Y. (2018). ‘Does aid reduce poverty?’, OPHI Working Paper 122, University of Oxford

IDS Item Types

Series paper (non-IDS)

Copyright holder

Oxford Poverty & Human Development Initiative

Identifier Ag

ES/N01457X/1

Usage metrics

    Impact Initiative - Governance

    Categories

    No categories selected

    Exports

    RefWorks
    BibTeX
    Ref. manager
    Endnote
    DataCite
    NLM
    DC