01660cas a2200253 a 4500 AALejournalIMF002380 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451851182 1018-5941 BD-DhAAL BD-DhAAL Cordella, Tito. Budget Support Versus Project Aid / Tito Cordella, Giovanni Dell'Ariccia. Washington, D.C. : International Monetary Fund, 2003. 1 online resource (32 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Should donors who are interested in the effectiveness of developmental programs rely on conditional budget support or on project aid? To answer this question, we present a model in which only a subset of the developmental expenditures can be subject to conditionality. We show that budget support is preferable to project aid when donors and recipients' preferences are aligned, and when assistance is small relative to recipients' resources. Then, we test our model estimating a modified growth model for a panel of developing countries, and find evidence in support of our predictions. Mode of access: Internet Dell'Ariccia, Giovanni. IMF Working Papers; Working Paper ; No. 2003/088 Full text available on IMF http://elibrary.imf.org/view/journals/001/2003/088/001.2003.issue-088-en.xml IMF e-Library