World Health & Population

World Health & Population 4(2) November 0000 : 0-0.doi:10.12927/whp..17600
Book Review

Assessing Aid: What Works, What Doesn't and Why? World Bank Policy Research Report: David Dollar and Lant Pritchett

Spencer Moore


In the post-Cold War international environment, the amount of financial aid that donor agencies provide has decreased. This decrease is the result of a number of factors: the lessened importance of aid for strategic foreign policy planning, the fiscal problems reported in OECD countries, and a general growth in private capital flows to developing countries. It is within this "shrinking aid" environment that Dollar and Pritchett ask and seek to answer the question: "How can development assistance be most effective at reducing global poverty?" For the researchers, the answer reduces to one simple formula - target aid to countries with good institutional and policy environments. It is from this policy framework that the authors provide recommendations to donor agencies that are looking to make their dollars effective.

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