In March 2002, President George W. Bush proposed establishing the "Millennium Challenge Account" (MCA), a new foreign aid program designed to provide substantial assistance to a select group of low-income countries that are committed to sound developmentpolicies. The MCA could bring about the most fundamental changes to U.S. foreign assistance policy in 40 years. Challenging Foreign Aid examines the MCA's potential promise and possible pitfalls, offering a rigorous analysis of the MCA?s centralchallenge: making foreign aid more effective in supporting economic growth and poverty reduction in the world?s poor countries. Radelet systematically explores what makes the MCA different and pinpoints the critical issues that will determine its success or failure. The book concludes with important recommendations about how the MCA should be strengthened to solidify its innovation and independence and ensure coordination with other U.S. foreign aid programs. This book should be in...

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