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The political economy of attracting public funds: the case of Lebanon

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  • Nisreen Salti
  • Jad Chaaban

Abstract

Using a dataset on 80 poverty pockets in Lebanon in 2004, we find that polarization, fractionalization and sectarian distance consistently and robustly affect a pocket's ability to attract development assistance funds. Our results are consistent with the prerogative of confessional balance in government decisions dictated by the power-sharing game in the post-war era. They put into question the design of effective channels to allocate development funds in polarized societies.

Suggested Citation

  • Nisreen Salti & Jad Chaaban, 2012. "The political economy of attracting public funds: the case of Lebanon," International Journal of Development and Conflict, Gokhale Institute of Politics and Economics, vol. 2(1), pages 1250001-125.
    • Handle: RePEc:gok:ijdcv1:v:2:y:2012:i:1:p:1250001
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    File URL: http://www.worldscientific.com/doi/pdf/10.1142/S2010269012500019
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    Cited by:

    1. Rawaa Harati, 2014. "Firms Informality: A Model and Empirical Evidence for Lebanon," Working Papers 883, Economic Research Forum, revised Dec 2014.

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