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corruption and development

Aid and Corruption

Shanta Devarajan's picture

Many of the objections to my blog post, “Another reason why aid to Africa must increase”  centered around corruption.  “I disagree.  Africa needs to get rid of corruption…” said one commentator, while another said, “Aid to African countries must follow country steps in good governance, democracy, fighting corruption, etc.”

I think we can agree on the following two facts:

 

But even with these two facts, it doesn’t necessarily follow that aid should be cut off from countries with high corruption.