On the effectiveness of foreign aid in institutional quality
We extend the Okada & Samreth (2012, EL) and Asongu (2012, EB) debate on ‘the effect of foreign aid on corruption’ by: not partially negating the former’s methodological underpinning (as in the latter’s approach) with a unifying empirical framework and; broadening the horizon of inquiry from corruption to eight institutional quality dynamics (rule of law, regulation quality, government effectiveness, democracy, corruption, voice & accountability, control of corruption and political stability). Core to this extension is a hypothetical contingency of the ‘institutional perils of foreign aid’ on existing institutional quality such that, the institutional downside of development assistance maybe questionable when greater domestic institutional development has taken place. Based on the hypothesis of institutional thresholds for foreign aid effectiveness, the perilous character of development assistance to institutional quality is broadly confirmed in 53 African countries for the period 1996-2010.
|Date of creation:||Jan 2013|
|Date of revision:||Jan 2013|
|Publication status:||Published in the European Economics Letters|
|Contact details of provider:|| Web page: http://www.afridev.org/index.php/en/|
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alesina, Alberto & Weder, Beatrice, 2002.
"Do Corrupt Governments Receive Less Foreign Aid?,"
4553011, Harvard University Department of Economics.
- Asongu Simplice, 2012.
"On the effect of foreign aid on corruption,"
12/031, African Governance and Development Institute..
- Martin MÃ¼hleisen & Dhaneshwar Ghura & Roger Nord & Michael T. Hadjimichael & E. Murat Ucer, 1995. "Sub-Saharan Africa; Growth, Savings, and Investment, 1986-93," IMF Occasional Papers 118, International Monetary Fund.
- Alberto Alesina & David Dollar, 1998.
"Who Gives Foreign Aid to Whom and Why?,"
NBER Working Papers
6612, National Bureau of Economic Research, Inc.
- Simplice A, Asongu, 2012.
"Government quality determinants of stock market performance in African countries,"
39631, University Library of Munich, Germany.
- Asongu Simplice, 2011. "Government Quality Determinants of Stock Market Performance in African Countries," Working Papers 11/019, African Governance and Development Institute..
- Kodila Tedika, Oasis, 2013.
"Anatomy of corruption Democratic Republic of Congo
[Anatomie de la Corruption en République Démocratique du Congo]," MPRA Paper 43463, University Library of Munich, Germany.
- Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2007.
"The Economic Consequences of Legal Origins,"
NBER Working Papers
13608, National Bureau of Economic Research, Inc.
- Simplice A, Asongu, 2012.
"Fighting corruption in Africa: do existing corruption-control levels matter?,"
36900, University Library of Munich, Germany.
- Simplice A. Asongu, 2012. "Fighting corruption in Africa: do existing corruption-control levels matter?," International Journal of Development Issues, Emerald Group Publishing, vol. 12(1), pages 36-52, February.
- Asongu Simplice, 2012. "Fighting corruption in Africa: do existing corruption-control levels matter?," Working Papers 12/012, African Governance and Development Institute..
- Rajeev K. Goel & Michael A. Nelson, 2005. "Economic Freedom Versus Political Freedom: Cross-Country Influences On Corruption ," Australian Economic Papers, Wiley Blackwell, vol. 44(2), pages 121-133, 06.
- Boone, Peter, 1996. "Politics and the effectiveness of foreign aid," European Economic Review, Elsevier, vol. 40(2), pages 289-329, February.
- Kodila Tedika, Oasis, 2012.
"Empirical Survey on the Causes of the Corruption
[Aperçu empirique sur les causes de la corruption]," MPRA Paper 41484, University Library of Munich, Germany.
- Okada, Keisuke & Samreth, Sovannroeun, 2012.
"The effect of foreign aid on corruption: A quantile regression approach,"
Elsevier, vol. 115(2), pages 240-243.
- Okada, Keisuke & Samreth, Sovannroeun, 2011. "The effect of foreign aid on corruption: A quantile regression approach," MPRA Paper 27969, University Library of Munich, Germany.
- Koenker,Roger, 2005.
Cambridge University Press, number 9780521845731, Junio.
- Stephen Knack & Philip Keefer, 1995. "Institutions And Economic Performance: Cross-Country Tests Using Alternative Institutional Measures," Economics and Politics, Wiley Blackwell, vol. 7(3), pages 207-227, November.
- Billger, Sherrilyn M. & Goel, Rajeev K., 2009. "Do existing corruption levels matter in controlling corruption?: Cross-country quantile regression estimates," Journal of Development Economics, Elsevier, vol. 90(2), pages 299-305, November.
- Svensson, Jakob, 2000.
"Foreign aid and rent-seeking,"
Journal of International Economics,
Elsevier, vol. 51(2), pages 437-461, August.
- Paul Mosley & John Hudson & Sara Horrell, 1992. "Aid, the public sector and the market in less developed countries: A return to the scene of the crime," Journal of International Development, John Wiley & Sons, Ltd., vol. 4(2), pages 139-150, 03.
- Asongu Simplice, 2011.
"Law, Democracy and the Quality of Government in Africa,"
11/018, African Governance and Development Institute..
- Simplice A, Asongu, 2011. "Law, democracy and the quality of government in Africa," MPRA Paper 35502, University Library of Munich, Germany.
- Stephen Knack, 2001. "Aid Dependence and the Quality of Governance: Cross-Country Empirical Tests," Southern Economic Journal, Southern Economic Association, vol. 68(2), pages 310-329, October.
- Pedersen, Karl R, 1996. " Aid, Investment and Incentives," Scandinavian Journal of Economics, Wiley Blackwell, vol. 98(3), pages 423-38.
When requesting a correction, please mention this item's handle: RePEc:agd:wpaper:0001. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Asongu Simplice)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.