Assistance to other countries, normally less developed country (LDCs), which has to be spent on goods and services from the donor. This is contrasted with untied aid, which can be spent in any way. Tied aid may be of less value than untied aid of an equal amount, as tying restricts the choices open to the recipient, though where the recipient imports a lot from the donor in any case tying may not be effective. As tied aid reduces the danger that giving aid may cause balance-of-payments problems for the donor, more aid may be available if it is given on a tied basis.

• average cost pricing
• average propensity to consume
• average propensity to import
• average propensity to save
• average revenue
• avoidable cost
• avoidance, tax
• axiom
• axis
• back door
• backward-bending supply curve
• backward integration
• BACS
• bad debt
• bad debt provision
• balance
• balanced budget
• balanced budget amendment
• balanced budget multiplier
• balanced growth
• balance of payments
• balance-of-payments crisis
• balance of trade
• balance-sheet
• balances with the Bank of England