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Citation Kumssa, Asfaw, and Haider Ali Khan. “Foreign Aid and the Fiscal Behaviour of the Recipient Government: The Case of Kenya.” Regional Development Studies 2 (1995/96): 157-174.


Title



Foreign Aid and the Fiscal Behaviour of the Recipient Government: The Case of Kenya

Year 1996
Author
Khan, Haider Ali Associate Professor of Economics, Graduate School of International Studies, University of Denver, Denver, CO, USA
Author
Kumssa, Asfaw Project Officer, UNCRD, Nagoya, Japan
Material Type Journal Article
Features 31 notes; 8 additional references; 3 tables; appendix (p. 172-174) 
Pages p. 157-174
Relationships   Part of

202 p. Regional Development Studies, Vol. 2, Winter 1995/96

Subjects CONSUMPTION 09.01.03
FISCAL ADMINISTRATION 04.03.02
FOREIGN AID 01.01.01
KENYA 01.04.02
PUBLIC EXPENDITURE 11.01.01
PUBLIC FINANCE 11.01.01
PUBLIC INVESTMENT 11.02.06
Abstract This article examines the effect of foreign aid on the fiscal behaviour of a recipient government. In particular, it analyses to what extent foreign aid influences the recipient country's choice between public investment and consumption. The model of a rational policymaker has been used to derive consistent behavioural equations in order to estimate the effects of foreign aid on government fiscal responses within the context of an African country -- Kenya. The results confirm earlier findings regarding the positive relationship between tax and consumption, and grants and public investment. however, a small leakage of loans to consumption was observed. --Journal abstract 
Control No. RDS 02h

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