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Does aid improve democracy and governance? A meta-regression analysis

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  • Zohid Askarov
  • Hristos Doucouliagos

Abstract

The paper provides a systematic and quantitative review of the empirical evidence on the effects of development aid on democracy and governance. We find that aid has had, on average, a zero or negative effect on democracy, except that it has had a positive effect on democratization in European transitional economies. Aid had a positive effect on governance during the Cold War period but has had no effect on governance in the post-Cold War period. Copyright Springer Science+Business Media New York 2013

Suggested Citation

  • Zohid Askarov & Hristos Doucouliagos, 2013. "Does aid improve democracy and governance? A meta-regression analysis," Public Choice, Springer, vol. 157(3), pages 601-628, December.
  • Handle: RePEc:kap:pubcho:v:157:y:2013:i:3:p:601-628
    DOI: 10.1007/s11127-013-0081-y
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    Cited by:

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    3. Dijkstra, Geske, 2018. "Aid and good governance: Examining aggregate unintended effects of aid," Evaluation and Program Planning, Elsevier, vol. 68(C), pages 225-232.
    4. Ryan Yeung & Phuong Nguyen-Hoang, 2016. "Endogenous peer effects: Fact or fiction?," The Journal of Educational Research, Taylor & Francis Journals, vol. 109(1), pages 37-49, January.
    5. John P. A. Ioannidis & T. D. Stanley & Hristos Doucouliagos, 2017. "The Power of Bias in Economics Research," Economic Journal, Royal Economic Society, vol. 127(605), pages 236-265, October.
    6. Matthias Busse & Ruth Hoekstra & Robert Darko Osei, 2017. "The Effectiveness of aid in Improving Regulations: An Empirical Assessment," South African Journal of Economics, Economic Society of South Africa, vol. 85(3), pages 368-385, September.
    7. repec:wly:econjl:v::y:2017:i:605:p:f236-f265 is not listed on IDEAS
    8. Kim, Nam Kyu & Kroeger, Alex, 2017. "Rewarding the introduction of multiparty elections," European Journal of Political Economy, Elsevier, vol. 49(C), pages 164-181.
    9. Axel Dreher & Valentin F. Lang & Sebastian Ziaja, 2017. "Foreign Aid in Areas of Limited Statehood," CESifo Working Paper Series 6340, CESifo.
    10. Askarov, Zohid & Doucouliagos, Hristos, 2015. "Aid and institutions in transition economies," European Journal of Political Economy, Elsevier, vol. 38(C), pages 55-70.
    11. Antoine Cazals & Pierre Mandon, 2015. "Political Budget Cycles: Manipulation of Leaders or Bias from Research? A Meta-Regression Analysis," Working Papers halshs-01238883, HAL.
    12. repec:elg:eechap:15325_15 is not listed on IDEAS
    13. Antoine CAZALS & Pierre MANDON, 2016. "Political Budget Cycles: Manipulation from Leaders or Manipulation from Researchers? Evidence from a Meta-Regression Analysis," Working Papers 201609, CERDI.
    14. Hagen, Rune Jansen, 2014. "Rents and the Political Economy of Development Aid," Working Papers in Economics 07/14, University of Bergen, Department of Economics.

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    More about this item

    Keywords

    Democracy; Governance; Institutions; Development aid; Meta-regression analysis; F35; O10; O43;
    All these keywords.

    JEL classification:

    • F35 - International Economics - - International Finance - - - Foreign Aid
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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