Evaluating the Effectiveness of Aid

Overview

There have long been debates on the effectiveness of aid. It is hard to measure quantitatively, and even when this is accomplished, everyone has a different interpretation of those facts and figures. Most economists agree that aid can be beneficial and is needed; debate arises on how countries should give aid and how that aid should be used within the receiving country to maximize its impact. Most everyone also acknowledges that despite good intentions, aid has not been as effective as it could be and so far major goals have not been accomplished. Another difference of opinions rises here - if aid has not been effective so far, should donor countries continue to give aid in the same manner as before, or should a new course be charted?