Template-Type: ReDIF-Paper 1.0
Author-Name: John Roemer
Author-Name-First: John
Author-Name-Last: Roemer
Author-Name: Humberto G. Llavador
Author-Name-First: Humberto G.
Author-Name-Last: Llavador
Author-Workplace-Name: Department of Economics, University of California Davis
Title: An Equal-Opportunity Approach to the Allocation of International Air
Abstract: How should international aid be distributed? The most common view is according to some utilitarian formula: in order to maximize the average growth rate of aid recipients or the growth rate of income of the class of recipient countries.  Recently, the World Bank [7] has published a study demonstrating the importance of good economic management, within a recipient country, in transforming aid into economic growth. We identify good economic management with eort, and ask, how should aid be distributed to equalize opportunities [among recipient countries] for achieving growth, according to Roemer''s [5] theory of equal opportunity. In addition, we calculate how aid should be distributed according to a utilitarian view.  Both the equal-opportunity and utilitarian recommendations are less compensatory than actual aid policy (they would give less to many African countries than present policy does). We discuss the results.
Length: 26
File-URL: https://repec.dss.ucdavis.edu/files/PsqHTYJ2UUZBkgVkoDz95SRr/99-10.pdf
File-Format: application/pdf
Number: 234
Classification-JEL: 
KeyWords: 
Creation-Date: 20030115
Handle: RePEc:cda:wpaper:234