Revised draft
نویسنده
چکیده
In his famous article on “The nature of the firm”, Ronald Coase (1937) sought to answer the question why firms exist, why there are many firms and not just one, why people do not work as individual producers but rather in firms. He suggested that transaction costs could explain the boundaries of the firm and that suggestion later on gave rise to an abundant literature on vertical integration. Turning from commercial firms to aid organizations we could ask similar questions: Why do aid agencies exist? Why are there many aid organizations and not just one? Why are there different types of aid organizations (NGO’s, bilateral and multilateral grant agencies, development banks)? Alternatively, why is foreign aid not transferred directly from a single donor to a single beneficiary, rather than going through the hands of multiple persons and organizations? In other words, how can we explain the organizational set-up of foreign aid delivery?
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