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We combine new disaggregated aid data and various metrics of political institutions to re-examine this relationship. Long run cross-section and alternative dynamic panel estimators show a small positive net effect of total aid on political institutions. The notion that foreign aid harms the institutions of recipient governments remains prevalent. We combine new disaggregated aid data and various metrics of political institutions to re-examine this relationship.

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We argue that foreign aid has neither the power to make dictatorships more democratic nor to make democracies more dictatorial. It only amplifies recipients' existing political institutions. We investigate this hypothesis using panel data for 124 countries between 1960 and 2009. Our findings support the amplification effect. Does foreign aid harm political institutions?

Does foreign aid undermine political institutions?

But large infl ows of foreign aid change local politics for the worse and undercut the institutions Like revenue from oil or diamonds, wealth from foreign aid can be a corrupting influence on weak governments, “turning what should be beneficial political institutions into toxic ones,” Deaton Does foreign aid undermine government accountability in recipient countries? Professor A. Mushfiq Mobarak argues that this question, which received renewed attention when a foreign aid skeptic won the Nobel Prize for unrelated work, requires careful empirical study. Do not simply advocate for more aid or \better aid" I Aid is \ine ective" because of political strategy, not because government doesn’t understand how to do aid Strategies for an aid-policy entrepreneur I Privatize/de-politicize the delivery of foreign aid I Encourage multi-lateral over bi-lateral aid I Identify and empower institutional Since bilateral aid is often used as a tool of a given country’s foreign policy to secure political, military or economic interests, that aid is expected to benefit less, if not impair, growth capabilities in the recipient country, as compared with multilateral aid that is presumed to have diluted donor control and neutralized ulterior motives. The political and strategic interests of the donors dictate the aid giving process more than concerns of good governance in the recipient nations.

We combine new disaggregated aid data and various metrics of political institutions to re-examine this relationship. Long run cross-section and alternative dynamic panel estimators show a small positive net effect of total aid on political institutions.

Research output: Contribution to journal › Journal article › Research › peer-review. Presentation; Citation formats; Does foreign aid harm political institutions? Sam Jones and Finn Tarp () .
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Does foreign aid harm political institutions_

We combine new disaggregated aid data and various metrics of political institutions to re-examine this The notion that foreign aid harms the institutions of recipient governments remains prevalent. We combine new disaggregated aid data and various metrics of political institutions to re-examine this relationship. Long run cross-section and alternative dynamic panel estimators show a small positive net effect of total aid on political institutions.

We combine new disaggregated aid data and various metrics of political institutions to re-examine this relationship. Political and legal institutions play a central role in setting the environment that can nurture prosperity and eco-nomic growth. Foreign aid, especially when there is a lot of it, affects how institutions function and how they change.
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Does foreign aid harm political institutions_ under all circumstances
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266- 281. Research output: Contribution to journal › Journal article › Research › peer-review Does foreign aid harm political institutions? Sam Jones and Finn Tarp () .


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2016-07-27 potential simultaneous causality between the amount of aid received and political stability level in a two-stage least squares regression. By doing so, we find that in most of our regressions foreign aid does not significantly affect political stability, and in the cases that it does the effect is quite small to the point of being inconsequential. 2017-07-31 Institutions and Foreign Aid 1/21.