Chauvet, Lisa; Collier, Paul; Fuster, Andreas - Université Paris-Dauphine (Paris IX) - 2013
This paper extends and applies principal-agent theory to the performance of donor projects. There is variation in the … implication of principal-agent theory is that the principal should put greater effort into observation the wider is the divergence … of recipient governments. Consistent with the theory, we find that donor supervision of projects is significantly more …