The future shape of European trade policy and the right stance to take in security and climate matters are currently the subject of fierce Franco-German debate. These issues are also relevant to development policy in the context of the overarching 2030 Agenda for Sustainable Development. Despite...

Using geo-referenced data on development projects by the World Bank and China, we provide a comprehensive analysis of the effect of aid on conflict using fixed effects and instrumental variables strategies. The results show that aid projects seem to reduce rather than fuel conflict, on average....

China's development model challenges the approaches of traditional Western donors like the World Bank. We argue that both aim at stability, but differ in the norms propagated to achieve that. Using fixed effects and IV estimations, we analyze a broad range of subnational stability measures in...

This paper deals with Germany’s new Africa policy. The Federal Ministry for Economic Cooperation and Development (BMZ) presented a new Africa concept in January 2017. The BMZ wants to counter the further marginalisation of Africa with inclusive and sustainable growth. Chancellor Angela Merkel...

We examine the properties of alternative monetary policy rules in response to large aid surges in low-income countries characterized by incomplete capital market integration and currency substitution. Using a dynamic stochastic general equilibrium model, we show that simple monetary rules that...