01863cas a2200265 a 4500 AALejournalIMF013453 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484320112 1018-5941 BD-DhAAL BD-DhAAL Kang, Joong. Aid, Exports, and Growth : A Time-Series Perspective on the Dutch Disease Hypothesis / Joong Kang, Alessandro Prati, Alessandro Rebucci. Washington, D.C. : International Monetary Fund, 2013. 1 online resource (29 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 We use a heterogeneous panel VAR model identified through factor analysis to study the dynamic response of exports, imports, and per capita GDP growth to a 'global' aid shock. We find that a global aid shock can affect exports, imports, and growth either positively or negatively. As a result, the relation between aid and growth is mixed, consistent with the ambiguous results in the existing literature. For most countries in the sample, when aid reduces exports and imports, it also reduces growth; and, when aid increases exports and imports, it also increases growth. This evidence is consistent with a DD hypothesis, but also shows that aid-receiving countries are not 'doomed' to catch DD. Mode of access: Internet Prati, Alessandro. Rebucci, Alessandro. IMF Working Papers; Working Paper ; No. 2013/073 Full text available on IMF http://elibrary.imf.org/view/journals/001/2013/073/001.2013.issue-073-en.xml IMF e-Library