IDEAS home Printed from https://ideas.repec.org/a/qua/journl/v3y2006i1p109-140.html
   My bibliography  Save this article

Foreign aid policy and its growth effect in Nepal

Author

Listed:
  • Rishav Bista

    (Coe College)

Abstract

Donors are perplexed, as aid has been unable to reinforce growth in many underdeveloped countries. In this paper, specific attention has been diverted towards various issues pertinent to the aid-growth relationship; in particular, we discuss Nepal due to its uniqueness. A general conclusion is that donors should conduct more research to country-specific problems and attributes, such as the sociocultural factors before they disburse any kind of aid. In case of Nepal, the country would be better off if the donors assume exclusive control over the project and work directly with the local bodies, NGOs or other consulting companies, rather than the government.

Suggested Citation

  • Rishav Bista, 2006. "Foreign aid policy and its growth effect in Nepal," EconoQuantum, Revista de Economia y Finanzas, Universidad de Guadalajara, Centro Universitario de Ciencias Economico Administrativas, Departamento de Metodos Cuantitativos y Maestria en Economia., vol. 3(1), pages 109-140, Julio-Dic.
    • Handle: RePEc:qua:journl:v:3:y:2006:i:1:p:109-140
    as

    Download full text from publisher

    File URL: http://econoquantum.cucea.udg.mx/index.php/EQ/article/view/7119
    Download Restriction: no
    File URL: http://econoquantum.cucea.udg.mx/index.php/EQ/issue/view/693
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Henrik Hansen & Finn Tarp, 2000. "Aid effectiveness disputed," Journal of International Development, John Wiley & Sons, Ltd., vol. 12(3), pages 375-398, April.
    2. Elbadawi, Ibrahim A, 1999. "External Aid: Help or Hindrance to Export Orientation in Africa?," Journal of African Economies, Centre for the Study of African Economies, vol. 8(4), pages 578-616, December.
    3. Mosley, Paul & Hudson, John & Horrell, Sara, 1987. "Aid, the Public Sector and the Market in Less Developed Countries," Economic Journal, Royal Economic Society, vol. 97(387), pages 616-641, September.
    4. Ms. Mwanza Nkusu, 2004. "Aid and the Dutch Disease in Low-Income Countries: Informed Diagnoses for Prudent Prognoses," IMF Working Papers 2004/049, International Monetary Fund.
    5. Yves Bourdet & Hans Falck, 2006. "Emigrants' remittances and Dutch Disease in Cape Verde," International Economic Journal, Taylor & Francis Journals, vol. 20(3), pages 267-284.
    6. David Alan Aschauer, 1990. "Is Government Spending Stimulative?," Contemporary Economic Policy, Western Economic Association International, vol. 8(4), pages 30-46, October.
    7. Philipp Harms & Matthias Lutz, 2004. "The Macroeconomic Effects of Foreign Aid: A Survey," University of St. Gallen Department of Economics working paper series 2004 2004-11, Department of Economics, University of St. Gallen.
    8. Kormendi, Roger C, 1983. "Government Debt, Government Spending, and Private Sector Behavior," American Economic Review, American Economic Association, vol. 73(5), pages 994-1010, December.
    9. Nara Bahadur Thapa, 2002. "An Econometric Analysis of the Impact of Real Effective Exchange Rate on Economic Activities in Nepal," NRB Economic Review, Nepal Rastra Bank, Research Department, vol. 14, pages 17-36, April.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ashma Vaidya & Audrey L. Mayer, 2016. "Critical Review of the Millennium Project in Nepal," Sustainability, MDPI, vol. 8(10), pages 1-23, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rishav Bista, 2006. "Foreign aid policy and its growth effect in Nepal," EconoQuantum, Revista de Economia y Negocios, Universidad de Guadalajara, Centro Universitario de Ciencias Economico Administrativas, Departamento de Metodos Cuantitativos y Maestria en Economia., vol. 3(1), pages 109-141, Julio - D.
    2. Innocent .U. Duru & Bartholomew .O.N. Okafor & Millicent Adanne Eze & Gabriel .O. Ebenyi, 2020. "Foreign Aid and Economic Growth: Empirical Evidence from Nigeria," Growth, Asian Online Journal Publishing Group, vol. 7(1), pages 35-50.
    3. Ms. Mwanza Nkusu, 2004. "Financing Uganda'S Poverty Reduction Strategy: Is Aid Causing More Pain Than Gain?," IMF Working Papers 2004/170, International Monetary Fund.
    4. Pedro M G Martins, 2010. "Capital Inflows Hinder Competitiveness? The Real Exchange Rate in Ethiopia," Discussion Papers 10/07, University of Nottingham, CREDIT.
    5. Gnangnon, Sèna Kimm, 2020. "Development Aid, Remittances Inflows and Wages in the Manufacturing Sector of Recipient-Countries," EconStor Preprints 213439, ZBW - Leibniz Information Centre for Economics.
    6. Pedro Martins, 2011. "Do large capital inflows hinder competitiveness? The Dutch disease in Ethiopia," Post-Print hal-00748067, HAL.
    7. Ben Naceur, Sami & Bakardzhieva, Damyana & Kamar, Bassem, 2012. "Disaggregated Capital Flows and Developing Countries’ Competitiveness," World Development, Elsevier, vol. 40(2), pages 223-237.
    8. Pedro M. G. Martins, 2010. "Do Capital Inflows Hinder Competitiveness? The Real Exchange Rate in Ethiopia," Working Paper Series 1110, Department of Economics, University of Sussex Business School.
    9. Blessing Chiripanhura & Miguel Niño‐Zarazúa, 2015. "Aid, Political Business Cycles and Growth in Africa," Journal of International Development, John Wiley & Sons, Ltd., vol. 27(8), pages 1387-1421, November.
    10. Monica Beuran & Gaël Raballand & Julio Revilla, 2011. "Improving Aid Effectiveness in Aid-Dependent Countries: Lessons from Zambia," Documents de travail du Centre d'Economie de la Sorbonne 11040, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    11. Nimonka Bayale, 2018. "Aide et Croissance dans les pays de l’Union Economique et Monétaire Ouest Africaine (UEMOA) : retour sur une relation controversée," Working Papers hal-01765313, HAL.
    12. Tadesse, Tasew, 2011. "Foreign aid and economic growth in Ethiopia," MPRA Paper 33953, University Library of Munich, Germany, revised 20 Sep 2011.
    13. Frank Adusah-Poku & William Bekoe, 2018. "Does the Form Matter? Foreign Capital Inflows and Economic Growth," Journal of Economics and Econometrics, Economics and Econometrics Society, vol. 61(3), pages 39-74.
    14. Pablo Selaya & Rainer Thiele, 2010. "Aid and Sectoral Growth: Evidence from Panel Data," Journal of Development Studies, Taylor & Francis Journals, vol. 46(10), pages 1749-1766.
    15. Stephen Knowles, 2007. "Social capital, egalitarianism and foreign aid allocations," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(3), pages 299-314.
    16. Clausen, Volker & Schürenberg-Frosch, Hannah, 2012. "Aid, spending strategies and productivity effects: A multi-sectoral CGE analysis for Zambia," Economic Modelling, Elsevier, vol. 29(6), pages 2254-2268.
    17. William Easterly & Ross Levine & David Roodman, 2003. "New Data, New doubts: A Comment on Burnside and Dollar's "Aid, Policies, and Growth" (2000)," NBER Working Papers 9846, National Bureau of Economic Research, Inc.
    18. Geetilaxmi MOHAPATRA & A. K. GIRI & Madhu SEHRAWAT, 2016. "Foreign aid, macroeconomic policies and economic growth nexus in India: An ARDL bounds testing approach," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(4(609), W), pages 183-202, Winter.
    19. Mouhamadou Sy & Hamidreza Tabarraei, 2010. "Capital inflows and exchange rate in LDCs: The Dutch disease problem revisited," Working Papers halshs-00574955, HAL.
    20. Mr. Eun K Choi, 2005. "Infrastructure Aid, Deindustrialization, and Welfare," IMF Working Papers 2005/150, International Monetary Fund.

    More about this item

    Keywords

    Foreign aid; government; investment expenditure; Dutch disease effect.;
    All these keywords.

    JEL classification:

    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:qua:journl:v:3:y:2006:i:1:p:109-140. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sandra Ivett Portugal Padilla (email available below). General contact details of provider: https://edirc.repec.org/data/dmudgmx.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.