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New face of development assistance: public goods and changing ethics

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  • Todd Sandler

    (School of Economic, Political and Policy Sciences, University of Texas at Dallas, 2601 N Floyd Road, Richardson, TX 75083-0688, USA)

  • Daniel G. Arce

    (School of Economic, Political and Policy Sciences, University of Texas at Dallas, 2601 N Floyd Road, Richardson, TX 75083-0688, USA)

Abstract

This article indicates the policy implications of the increasing emphasis of public goods in foreign assistance. Even the Millennium Development Goals (MDGs) reflect this public good emphasis. This changing composition of aid has important ethical implications: public good aid is driven by altruism and self-interest owing to benefit spillovers to donor nations. We show how key properties of publicness influence not only the desired direction of income transfers, but also the identity of the appropriate donor (i.e. donor nation, multilateral agency, or charitable foundation). The article also highlights how the spatial spillovers of public goods affect aid decisions. Finally, we relate five essential sectors to their public good properties and policy implications. Copyright © 2007 John Wiley & Sons, Ltd.

Suggested Citation

  • Todd Sandler & Daniel G. Arce, 2007. "New face of development assistance: public goods and changing ethics," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(4), pages 527-544.
    • Handle: RePEc:wly:jintdv:v:19:y:2007:i:4:p:527-544
    DOI: 10.1002/jid.1385
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    References listed on IDEAS

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    1. Tom Dedeurwaerdere & Paolo Melindi-Ghidi & Willem Sas, 2015. "Voluntary Provision of Public Knowledge Goods: Group-Based Social Preferences and Coalition Formation," AMSE Working Papers 1545, Aix-Marseille School of Economics, France, revised 03 Nov 2015.
    2. Diana Sonntag, 2014. "FUNDING HIV‐VACCINE RESEARCH IN DEVELOPING COUNTRIES—WHAT IS WRONG WITH IAVI's RECOMMENDATION?," Health Economics, John Wiley & Sons, Ltd., vol. 23(2), pages 141-158, February.
    3. Atkinson, A.B., 2009. "Giving overseas and public policy," Journal of Public Economics, Elsevier, vol. 93(5-6), pages 647-653, June.
    4. P. B. Anand & Des Gasper, 2007. "Special issue on human security, well-being and sustainability: rights, responsibilities and priorities," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(4), pages 449-456.
    5. Mario Biggeri & Jean-Francois Trani & Parul Bakhshi, 2009. "Le teorie della Disabilità: una Reinterpretazione Attraverso l'Approccio delle Capability Amartya Sen," Working Papers - Economics wp2009_04.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    6. Abbott, Andrew & Jones, Philip, 2012. "Government spending: Is development assistance harmonised with other budgets?," Journal of Policy Modeling, Elsevier, vol. 34(6), pages 921-931.
    7. Tom DEDEURWAERDERE & Paolo MELINDI GHIDI, 2013. "Voluntary Pooled Public Knowledge Goods and Coalition Formation," LIDAM Discussion Papers IRES 2013020, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    8. Sonntag, Diana, 2012. "Rethinking aid for AIDS A public good approach," VfS Annual Conference 2012 (Goettingen): New Approaches and Challenges for the Labor Market of the 21st Century 62080, Verein für Socialpolitik / German Economic Association.

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