Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/204964 
Year of Publication: 
2018
Series/Report no.: 
AGDI Working Paper No. WP/18/032
Publisher: 
African Governance and Development Institute (AGDI), Yaoundé
Abstract: 
The study investigates whether development assistance can be used to crowd-out the negative effect of terrorism on international trade. The empirical evidence is based on a panel of 78 developing countries for the period 1984-2008 and Quantile Regressions. The following main findings are established. First, bilateral aid significantly reduces the negative effect of transnational terrorism on trade in the top quantiles of the trade distribution. Second, multilateral aid also significantly mitigates the negative effect of terrorism dynamics on trade in the top quantiles of the trade distributions. It follows that it is primarily in countries with above median levels of international trade that development assistance can be used as an effective policy tool for dampening the adverse effects of terrorism on trade. Practical implications are discussed.
Subjects: 
Exports
Foreign Aid
Terrorism
Development
JEL: 
F40
F23
F35
Q34
O40
Document Type: 
Working Paper

Files in This Item:
File
Size
249.92 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.