Aid and the Dutch Disease in Low-Income Countries: Informed Diagnoses for Prudent Prognoses

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Price:  $15.00

Author/Editor: Mwanza Nkusu
Release Date: © March, 2004
ISBN : 978-1-45184-687-4
Stock #: WPIEA0492004
English
Stock Status: Available

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Description

This paper demonstrates that the Dutch disease need not materialize in low-income countries that can draw on their idle productive capacity to satisfy the aid-induced increased demand. Diagnoses on, and prognoses for, the Dutch disease should take into account country-specific circumstances to avoid ill-advised policies. The paper emphasizes that using public resources inefficiently can be more painful than real exchange rate appreciations, which may not necessarily embody the Dutch disease.

Taxonomy

Development assistance , Economic development




More publications in this series: Working Papers


More publications by: Mwanza Nkusu