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El impacto de la ayuda internacional sobre la calidad de las instituciones

Author

Listed:
  • José Antonio Alonso

    (Universidad Complutense de Madrid e ICEI)

  • Carlos Garcimartín

    (Universidad Rey Juan Carlos e ICEI)

Abstract

Some empirical works have argued that aid hinders the institutional quality of recipient countries. This article argues that these works suffer from two main shortcomings that make their conclusions less tenable. On the one hand, a previous investigation of the determinants of institutional quality is usually not implemented, and as a consequence, a serious omitted variables problem emerges. On the other hand, aid may show decreasing returns, but this possibility is rarely taken into account. At the aim of overcoming these shortcomings, the article presents a new estimation of an institutional quality equation that incorporates its main determinants as well as aid. Its main results suggest that aid impacts positively on institutional quality, but it shows decreasing returns.

Suggested Citation

  • José Antonio Alonso & Carlos Garcimartín, 2011. "El impacto de la ayuda internacional sobre la calidad de las instituciones," EKONOMIAZ. Revista vasca de Economía, Gobierno Vasco / Eusko Jaurlaritza / Basque Government, vol. 77(02), pages 158-175.
    • Handle: RePEc:ekz:ekonoz:2011209
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    institutional quality; development aids; income distribution; tax system;
    All these keywords.

    JEL classification:

    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy

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