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Is two better than one? The effects of IMF and World Bank interaction on growth
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Journal Article
Is two better than one? The effects of IMF and World Bank interaction on growth
2011
Overview
We estimate the impact on economic growth of the joint participation in both IMF and World Bank programs. More specifically, using panel data for 128 developing countries over the period 1982–2005, and employing 2SLS to control for the possible endogeneity of participation in an IMF/World Bank program, we find that the interaction between these two organizations has a positive and significant impact on growth. The paper then opens up interesting new research questions related to investigate further on the effects of Bank–Fund simultaneous action and, to the extent to which their stronger impact on growth may depend on Bank–Fund interaction, also ways to optimize their joint effect through greater cooperation.
Publisher
Springer US,Springer,Springer Nature B.V
Subject
