Cover: The Effect of Savings and Foreign Aid on National Growth Rates.

The Effect of Savings and Foreign Aid on National Growth Rates.

by R. E. Johnson


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A study of the effect of our foreign aid program on the economic growth rates of recipient nations. This is a controversial subject, and it is not clear which technique of analysis, if any, will help resolve the issue. In this Memorandum, through the use of a macro-analytic technique, various factors that affect growth rates are analyzed to estimate the contribution of foreign aid to economic growth and to provide a method for identifying those countries that seem most likely to benefit from aid

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