Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/94320
Authors: 
Gang, Ira N.
Khan, Haider Ali
Year of Publication: 
1998
Series/Report no.: 
Working Papers, Department of Economics, Rutgers, The State University of New Jersey 1998-12
Abstract: 
We examine how the source of foreign aid affects the composition of the recipient government's spending. Does the source of aid -- bilateral or miltilateral -- influence ricipient policy-makers' choice between development and nondevelopment expenditure? We depart from previous literature by introducing strong asymmetries in policy-maker's preferences. With financial constraints set by foreign aid and domestic revenues, this formalization allows us to model and estimate the fiscal behavior of government policy-makers in the presense of foreign aid.
Subjects: 
foreign aid
India
international assistance
JEL: 
F35
Document Type: 
Working Paper

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