Development Economics

To what extent does foreign aid help developing countries reach sustainable development goals and how can the international community make development finance more efficient in this respect? 

Our research investigates aid effectiveness using a disaggregated approach to shed light on sector-, donor- and location-specific aid impacts. We are interested both in how well different aid flows meet their intended objectives, and in possible externalities, or unintended consequences, of aid.

Our research under this theme studies the impact of behavioral biases such as biased beliefs, on the outcomes of those in developing countries.

We know that behavioural biases exist in developed countries but because of the institutional environment these biases have the potential to have far larger impacts on preferences and decision making in a developing country setting. Our research in this area has studied the impacts of gender biases, psychological biases and biased beliefs (among others) on agricultural, education and health outcomes.

Our research under this theme investigates several different aspects of education over a range of settings, exemplifying the wide variety topics relevant in studying education, learning and skills. 

The role of macro-level factors such as natural resources and property rights have been investigated, along with meso- and micro-level factors such as social networks, cultural norms, and birth order. A newly started project will investigate the impact of violent extremism on education.

Our research under this theme focuses on private sector development, and the behavior and performance of farms and firms in low-income countries. 

This line of research is motivated by the need for poor countries to modernize and generate more good jobs for a rapidly growing population. A better understanding of the constraints facing farms and firms can lead to better development policies and, ultimately, improved standards of living in low-income countries.

Within this theme, we are performing research on both determinants of health and health behaviours and on supply of health care in low-income countries. 

The group has for example produced research on HIV and associated risk behaviours and on quality of care. We are currently working on, for example, projects on health care in Brazil, impacts of aid on stunting, and determinants of intimate partner violence and female genital cutting. We are also performing research on demographic issues such as marriage timing and fertility. One example is a study on the impacts of cash incentives on early marriage.

Our research under this theme relates to political economy and the functioning of institutions, and how this impacts development.

We shed light on a wide range of issues, including conflict, patterns of national identity, cultural development and divergence, and fiscal capacity. The research is based on microeconomic as well as macroeconomic foundations, and some issues are explored through a historical lens.

Our research under this theme seeks to measure and explain changes in poverty and inequality over time in low-income countries.

We are considering the impacts of investments and structural change, earnings determination, as well as openness to foreign trade and other policies. A better understanding of the determinants of poverty and inequality will make it easier to formulate policies that can help us reach the sustainable development goals for 2030 of eliminating severe poverty and reducing inequalities.