Against the current backdrop of declining aid budgets, the efficient allocation of aid is of crucial importance for its effectiveness. Allocative efficiency (aid is allocated where it has the largest impact) has become at least as important as operational efficiency (aid is used in a way that maximises results per unit of spending). Donors have committed in international forums in Paris (2005),...

Aid coordination is a constant theme of discussion among national and international aid agencies in their search for more effectiveness and efficiency in delivering development assistance. This paper seeks to clarify some of the arguments currently made in support of aid coordination, and to precise unavoidable trade-offs born of the existence of political costs. It is anchored in the available...

Transaction costs” are commonly referred to in the recent literature on aid effectiveness. The shift to a new partnership aid paradigm (cf. the Paris Agenda) is grounded on the desire to render aid more effective, notably through reducing the high transaction costs generated by the project approach. Aid transaction costs, however, have neither been consistently defined nor measured. In this pap...

Abstract The reliability and safety of any system is the most important qualitative characteristic of a system. This qualitative characteristic is of particular importance in systems whose functions are under various stresses, such as high temperature, high speed, high pressure, etc. A considerable point, which is rarely taken into account when calculating the reliability and safety of syst...

This paper is a contribution to the aid effectiveness literature in two important fronts. Firstly, it develops a new database for project aid and programme aid disbursements for 104 developing countries, for the period of 1973-2001. Secondly, using this new dataset and, food aid and technical assistance data from the OECD-DAC database the paper re-examines the savings displacement hypothesis. T...

We examine the impact of institutional quality and social capital on aid effectiveness. We find strong evidence that social capital and institutions enhance aid effectiveness. Moreover, once we account for the role of social capital and institutions, the impact of policies tend to disappear. These findings have important policy implications as they indicate that conditioning aid allocation on ‘...

Background Against a backdrop of changing concepts of aid effectiveness, development effectiveness, health systems strengthening, and increasing emphasis on impact evaluation, this article proposes a theory-driven impact evaluation framework to gauge the effect of aid effectiveness principles on programmatic outcomes of different aid funded programs in the health sector of a particular country....