, equally erroneous interpretations of the impacts--one positive, one negative--of external aid on institutions. …

This paper examines the effect of U.S. food aid on conflict in recipient countries. To establish a causal relationship …, we exploit time variation in food aid caused by fluctuations in U.S. wheat production together with cross …-sectional variation in a country's tendency to receive any food aid from the United States. Our estimates show that an increase in U …

quality of aid delivered and social agendas pursued across neighboring villages in a set disaster context. We model the … implied objective functions and trade-offs concerning aid quality, aid quantity, and social agendas of different types of … the tsunami. Different organizational structures result in significantly different qualities of hard aid, differential …

Critics of foreign aid programs have long argued that poverty reflects government failure. In this paper I analyze the … effectiveness of foreign aid programs to gain insights into political regimes in aid recipient countries. My analytical framework … shows how three stylized political/economic regimes labeled egalitarian, elitist and laissez-faire would use foreign aid. I …

This paper studies the effect of foreign aid on economic stabilization. Following Alesina and Drazen (1991), we model … the release of information. We show that this role depends on the timing of the transfer: foreign aid decided and … transferred sufficiently early into the game leads to earlier stabilization; but aid decided or transferred too late is …

This paper studies the impact of aid volatility in a two-period model where production may occur with either a … modern technology to be used. The possibility of a poverty trap induced by high aid volatility is first examined in a …-period contingency fund) financed through taxation. An increase in aid volatility is shown to raise the optimal contingency fund. But if …