Going Beyond Aid: Development Cooperation for Structural Transformation

Abstract

This book focuses on sustainable and inclusive structural transformation and the need to go beyond aid in a multipolar world. Historically, structural transformation has been a powerful engine of growth and job creation. Traditional development aid is inadequate to address the bottlenecks for structural transformation and is hence ineffective. In our view developing countries are all at various stages of climbing the same “mountain” of structural transformation. In a globalized world no one can climb that mountain without learning and helping each other. For the objective of structural transformation, conventional North-South aid is insufficient, so we go beyond aid to study South-South Development Cooperation, which combines aid, trade, and investment to achieve broader development goals, including employment generation and sustainable welfare improvement. Our objective is to bring a new narrative to broaden the ongoing discussions of post-2015 development aid and cooperation as well as the definitions of aid and cooperation, by presenting new ideas and different perspectives from emerging market economies such as Brazil, China, India and other developing countries.

Keywords: Aid, development cooperation, South-South dev cooperation

JEL Classification: 000