Chapter 19 The Determinants of Aid in the Post-Cold War Era

Abstract

This paper estimates the responsiveness of aid to recipient countries' economic and physical needs, civil/political rights, and government effectiveness. We look exclusively at the post-Cold War era and use fixed effects to control for the political, strategic, and other considerations of donors. We find that aid and per capita income have been negatively related, while aid has been positively related to infant mortality, rights, and government effectiveness.

Citation

Bandyopadhyay, S. and Wall, H.J. (2006), "Chapter 19 The Determinants of Aid in the Post-Cold War Era", Lahiri, S. (Ed.) Theory and Practice of Foreign Aid (Frontiers of Economics and Globalization, Vol. 1), Emerald Group Publishing Limited, Leeds, pp. 387-402. https://doi.org/10.1016/S1574-8715(06)01019-0