- encourages corruption
- is wasted on unimportant things (4x4s, cf pyramids) "monument-building"
- undermines private sector incentives (crowding out)
- reduces govt and private saving
- keeps bad govts in power
- aid is fungible: non-aid funds are transferred elsewhere
- government planning does not lead to growth - mistakes aren't punished, incentives aren't there
jun 3 2010 ∞
jun 3 2010 +
jun 3 2010 +