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Tag Archives: aid fungibility

Reasons to doubt new health aid study on fungibility

This post is by David Roodman, a research fellow at the Center for Global Development (CGD) in Washington, DC.

A couple of weeks ago, researchers at the Institute for Health Metrics and Evaluation triggered a Richter-7 media quake with the release of a new study in the Lancet.

Here’s how the Washington Post cast the findings:

After getting millions of dollars to fight AIDS, some African countries responded by slashing their health budgets.

Laura Freschi…

Posted in Data and statistics, Global health | Also tagged , , 3 Comments

Does health aid to governments make governments spend more on health?

If you’re not an economist, you might reasonably assume that the answer to this question is yes. The story might go something like this: aid agencies give money to poor country governments to distribute bed nets or give vaccinations, and those additional funds are added to whatever money the country was able to scrape together to spend on health before the donor came along. As a result of the health aid, the total amount of…

Posted in Aid policies and approaches, Economics principles, Global health, Organizational behavior | Also tagged 26 Comments