Today’s developing nations emerged from the rubble of the Second World War. Only a handful of these countries have subsequently attained a level of prosperity and security comparable to that of the advanced industrial world. The implication is clear: those who study the developing world in...

We provide evidence that individuals substitute between political contributions and charitable contributions, using micro data from the American Red Cross and Federal Election Commission. First, we find that foreign natural disasters, which are positive shocks to charitable giving, crowd out...