An examination of some dimensions of "efficiency" in aid giving. The Memorandum is an exercise in optimization, given the need to conserve resources in the donor, and given the objective of raising real national income in the recipient. On grounds of efficiency it is desirable to maximize the grant equivalent to the recipient per dollar grant equivalent from the donor. The view adopted in the present study is that the proper application of external resources will raise output in most poor countries by more than the same resources will raise output in the developed countries.
This report is part of the RAND Corporation Research memorandum series. The Research Memorandum was a product of the RAND Corporation from 1948 to 1973 that represented working papers meant to report current results of RAND research to appropriate audiences.
This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit www.rand.org/pubs/permissions.
The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.