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On the Channel and Type of Aid: The Case of International Disaster Assistance

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  • Paul A. Raschky
  • Manijeh Schwindt

Abstract

The aim of this paper is to determine the drivers of a donor’s decision on the composition of aid. We apply a dataset on international post-disaster assistance between 2000 and 2007 that includes information on the channel (bilateral vs. multilateral) and type (cash vs. in-kind) of each aid flow. Our results suggest that the choice of the channel and type of disaster assistance is mainly determined by strategic interests and transaction costs. Moreover, we find differences in the allocation behavior of OECD and non-OECD countries.

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  • Paul A. Raschky & Manijeh Schwindt, 2010. "On the Channel and Type of Aid: The Case of International Disaster Assistance," Monash Economics Working Papers 06-10, Monash University, Department of Economics.
    • Handle: RePEc:mos:moswps:2010-06
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    More about this item

    Keywords

    Foreign aid; natural disasters; bilateral vs. multilateral; type of aid;
    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
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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