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Economics Commons

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2007

Economics Department Working Paper Series

Foreign aid

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Public Finance, Aid, And Post-Conflict Recovery, James K. Boyce Jan 2007

Public Finance, Aid, And Post-Conflict Recovery, James K. Boyce

Economics Department Working Paper Series

In the wake of violent conflict, a key element of building a durable peace is building a state with the ability to collect and manage public resources. To implement peace accords and provide public services, the government must be able to collect revenue, allocate resources, and manage expenditure in a manner that is regarded by its citizens as effective and equitable. This paper addresses eight key issues related to this challenge. The first four pertain to resource mobilization: (i) How should distributional impacts enter into revenue policies? (ii) How can postwar external assistance do more to prime the pump of …