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Aid as a Second-Best Solution: Seven Problems of Effectiveness and How to Tackle Them

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  • Richard Manning

Abstract

Most rich countries developed without aid, and this 'self-development' has some intrinsic advantages. In today's massively unequal world, however, such an approach would imply very low levels of human development for several generations for many poor countries. Aid can therefore usefully be thought of as a necessary but 'second-best option'. The challenge then is how to manage this second-best option, particularly in the more aid-dependent states and the more fragile environments, in order to achieve sustainable results.

Suggested Citation

  • Richard Manning, 2012. "Aid as a Second-Best Solution: Seven Problems of Effectiveness and How to Tackle Them," WIDER Working Paper Series wp-2012-024, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2012-024
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    File URL: https://www.wider.unu.edu/sites/default/files/wp2012-024.pdf
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    References listed on IDEAS

    as
    1. Arndt Channing & Jones Sam & Tarp Finn, 2010. "Aid, Growth, and Development: Have We Come Full Circle?," Journal of Globalization and Development, De Gruyter, vol. 1(2), pages 1-29, December.
    2. Channing Arndt & Sam Jones & Finn Tarp, 2009. "Aid and Growth: Have We Come Full Circle?," WIDER Working Paper Series DP2009-05, World Institute for Development Economic Research (UNU-WIDER).
    3. Andy Sumner, 2010. "Global Poverty and the New Bottom Billion: Three-Quarters of the World’s Poor Live in Middle-Income Countries," One Pager 120, International Policy Centre for Inclusive Growth.
    4. Andy Sumner, 2010. "Global Poverty and the New Bottom Billion: What if Three-quarters of the World’s Poor Live in Middle-income Countries?," Working Papers 74, International Policy Centre for Inclusive Growth.
    5. Arndt Channing & Jones Sam & Tarp Finn, 2010. "Aid, Growth, and Development: Have We Come Full Circle?," Journal of Globalization and Development, De Gruyter, vol. 1(2), pages 1-29, December.
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    Cited by:

    1. Larrú, José María, 2013. "The developmental contribution of the Offset Agreements: the case of Colombia," MPRA Paper 51456, University Library of Munich, Germany.
    2. Addison, Tony & Singhal, Saurabh & Tarp, Finn, 2013. "Aid to Africa: The Changing Context," WIDER Working Paper Series 144, World Institute for Development Economic Research (UNU-WIDER).
    3. Robert Darko Osei & Freda Asem & George Domfe, 2013. "The Political Economy Dimensions of Macroeconomic Management of Aid in Ghana," WIDER Working Paper Series wp-2013-106, World Institute for Development Economic Research (UNU-WIDER).
    4. Faheem Jehangir Khan, 2017. "Opening the Black Box: Managing the Aid Policy Process in Pakistan," PIDE-Working Papers 2017:149, Pakistan Institute of Development Economics.
    5. Faheem Jehangir Khan, 2016. "The Aid Policy Network in Pakistan: An Actor-Network Analysis," PIDE-Working Papers 2016:140, Pakistan Institute of Development Economics.
    6. Faheem Jehangir Khan, 2017. "Opening the Black Box: Managing the Aid Policy Process in Pakistan," Working Papers id:12179, eSocialSciences.
    7. Asem, Freda & Domfe, George & Osei, Robert, 2013. "The Political Economy Dimensions of Macroeconomic Management of Aid in Ghana," WIDER Working Paper Series 106, World Institute for Development Economic Research (UNU-WIDER).
    8. Niels Keijzer, 2016. "Open Data on a Closed Shop? Assessing the potential of transparency initiatives with a focus on efforts to strengthen capacity development support," Development Policy Review, Overseas Development Institute, vol. 34(1), pages 83-100, January.
    9. Tony Addison & Saurabh Singhal & Finn Tarp, 2013. "Aid to Africa: the Changing Context," WIDER Working Paper Series wp-2013-144, World Institute for Development Economic Research (UNU-WIDER).

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