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Title:Aid Allocation through Various Official and Private Channels: Need, Merit and Self-Interest as Motives of German Donors PDF Logo
Authors:Nunnenkamp, Peter
Öhler, Hannes
Issue Date:2010
Series/Report no.:Proceedings of the German Development Economics Conference, Hannover 2010 15
Abstract:Previous literature largely ignores the heterogeneity of aid channels used by each single donor country. We estimate Tobit models to assess the relative importance of recipient need, recipient merit and self-interest of donors for various channels of official and private German aid across a large sample of recipient countries in 2005-2007. Our findings strongly underscore the need for a disaggregated analysis of aid allocation. Aid channels differ significantly in the extent to which need and merit are taken into account. Yet, the German case does not reveal unambiguously superior aid channels. Better targeted aid through some channels seems to be conditioned on political support by recipient countries in the UN General Assembly.
Subjects:aid allocation
aid channels
donor motives
Germany
Tobit models
JEL:F35
Document Type:Conference Paper
Appears in Collections:Publikationen von Forscherinnen und Forschern des IfW
Proceedings of the German Development Economics Conference, 2010 (Hannover)

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