Showing 1 - 10 of 110
This paper studies the effects of bilateral foreign aid on conflict escalation and de-escalation. We make three major …-sided and multifaceted nature of conflict. Second, we develop a novel empirical framework. We propose a dynamic ordered probit … aid on conflict by predicting bilateral aid flows based on electoral outcomes of donor countries that are exogenous to …
Persistent link: https://www.econbiz.de/10012979126
This research advances the hypothesis and establishes empirically that interpersonal population diversity has contributed significantly to the emergence, prevalence, recurrence, and severity of intrasocietal conflicts. Exploiting an exogenous source of variations in population diversity across...
Persistent link: https://www.econbiz.de/10012916960
We use an excludable instrument to test the effect of bilateral foreign aid on economic growth in a sample of 96 recipient countries over the 1974-2009 period. We interact donor government fractionalization with a recipient country's probability of receiving aid. The results show that...
Persistent link: https://www.econbiz.de/10012970832
open civil conflict against the government. Our model implies that terrorism emerges if constraints on the ruling executive … group are intermediate and rents are sizeable, whereas conflict looms under poor executive constraints. Analyzing annual … when considering the incidence and onset of terrorism and conflict. The corresponding magnitudes are economically sizeable …
Persistent link: https://www.econbiz.de/10012930080
A windfall of natural resource revenue (or foreign aid) faces government with choices of how to manage public debt, investment, and the distribution of funds for consumption, particularly if the windfall is both anticipated and temporary. We show that the permanent income hypothesis prescription...
Persistent link: https://www.econbiz.de/10012764524
We introduce a new 'supply-push' instrument for foreign aid, to be used together with an instrumental variable estimator that filters out unobserved common factors. We use this instrument to study the effects of aid on macroeconomic ratios, and especially the ratios of consumption, investment,...
Persistent link: https://www.econbiz.de/10013044599
The governments of many developing countries seek to attract inbound foreign direct investment (FDI) through the use of tax incentives for multinational corporations (MNCs). The effectiveness of these tax incentives depends crucially on MNCs' residence country tax regime, especially where the...
Persistent link: https://www.econbiz.de/10012992009
In 2014 over $60 billion was mobilized to help developing nations mitigate climate change, an amount equivalent to the GDP of Kenya. Interestingly, breaking from the traditional model of bilateral aid, donor countries distributed nearly fifty percent of their aid through multilateral aid funds...
Persistent link: https://www.econbiz.de/10012992608
This article investigates whether China's foreign aid is particularly prone to political capture by political leaders of aid-receiving countries. Specifically, we examine whether more Chinese aid is allocated to the political leaders' birth regions and regions populated by the ethnic group to...
Persistent link: https://www.econbiz.de/10013018701
This paper investigates a new mechanism to explain politically induced changes in bilateral aid. We argue that shifts in the foreign policy alignment between a donor and a recipient country following leadership changes induce reallocation of aid. This is due to heightened uncertainty of...
Persistent link: https://www.econbiz.de/10012967869