1. The Effects of Grants and Donor Aid
... nations. Lohan (2004) argued that foreign aid discourages domestic saving in developing countries and is simply directed to consumption instead of investments. This school of thought has been supported by many scholars notably Pronk (2003) who stated that aid itself does not bring a spectacular success to ... and also right policies formulated by the recipient countries which unfortunately most developing countries do not have. Mercieca (2010) also supports the school of thought that aid retards economic growth in that it substitutes for savings and investment rather than supplementing ...
- Word Count: 1491
- Approx Pages: 6
- Has Bibliography
- Grade Level: Graduate