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Bilateral foreign aid: How important is aid effectiveness to people for choosing countries to support?


  • Harry Cunningham

    () (University of Otago)

  • Stephen Knowles

    () (Department of Economics, University of Otago, New Zealand)

  • Paul Hansen

    () (Department of Economics, University of Otago, New Zealand)


We conduct a discrete choice experiment (DCE) to determine how important aid effectiveness is to people relative to other criteria for choosing countries to support with bilateral foreign aid. We find that aid effectiveness is important, on a par with recipient-country need as proxied by the level of hunger and malnutrition. Both criteria are more important than others.

Suggested Citation

  • Harry Cunningham & Stephen Knowles & Paul Hansen, 2016. "Bilateral foreign aid: How important is aid effectiveness to people for choosing countries to support?," Working Papers 1605, University of Otago, Department of Economics, revised Apr 2016.
  • Handle: RePEc:otg:wpaper:1605

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    More about this item


    foreign aid; aid effectiveness; discrete choice experiment; conjoint analysis; PAPRIKA method;

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development


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