Critics of foreign aid claim that assistance is often ineffective and sometimes counterproductive. And yet in this study commissioned by the World Bank and the IMF, Robert Cassen and a team of independent consultants show that most aid is successful in terms of its own objectives and obtains a reasonable rate of return. Acknowledging the possible pitfalls of foreign aid, Cassen compares them with those of other forms of private and public investment, and concludes with a proposal for improving effectiveness.