Disaggregated aid allocation
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West, Martin Molter1, Forfatter
Dalgaard, Carl-Johan2, Vejleder
1Det Samfundsvidenskabelige Fakultet, Københavns Universitet, København, Danmark, diskurs:7001              
2Økonomisk Institut, Det Samfundsvidenskabelige Fakultet, Københavns Universitet, København, Danmark, diskurs:7014              
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Ukontrollerede emneord: Aid allocation, disaggregated aid flows, development economics, United Nations Security Council,
 Abstract: The present thesis studies the allocation of disaggregated aid flows. I use information on aid commitments divided by purpose to define three aid types: human capital aid, physical capital aid and budget support. The data are from the AidData database (Tierney et al., 2011). Aid allocations in the period 1980-2009 from five donor countries - France, Germany, Japan, the United Kingdom and the United States - are analysed using the fixed effects method. I draw on the allocation study by Alesina and Dollar (2000) as well as Kuziemko and Werker's (2006) focus on aid for non-permanent members of the UN Security Council (UNSC). Increased aid to such countries could indicate that aid is used to buy influence in the Council.

Using aggregate aid data, I am unable to retrieve Kuziemko and Werker's (2006) results regarding US aid allocations, while the UK shows a weak sign of allocating more aid for non-permanent UNSC members. In the disaggregated analysis, the UK is found to allocate more than double the amount of general budget support to UNSC members, and the result is robust to alternative specifications. Germany and Japan both show signs of increased human capital aid allocations for non-permanent UNSC members: Japan is found to increase its human capital aid allocations for UNSC members by 55 per cent when it is not itself a member of the Council; Germany seems to allocate more of this aid type to countries that are members of the UNSC at the same time as Germany. However, there does not seem to be a general picture of all donors using aid to “buy influence” in the UNSC.

The estimation method is subject to some weaknesses, including rejection of the strict exogeneity assumption in most of the regressions. Moreover, the disaggregated aid data are incomplete, which impedes well-known methodological approaches, where recipient country eligibility for aid is studied explicitly. Such focus could be of particular importance for analyses of disaggregated aid flows.

I conclude the thesis by presenting ideas and innovations from other allocation studies that are likely to be important for future studies of aid allocation.
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Bogmærk denne post:
 Type: Speciale
Alternativ titel: Do non-permanent members of the UN Security Council receive more aid?
Alternativ titel: Disaggregeret bistandsallokering
Alternativ titel: Får ikke-permanente medlemmer af FN's Sikkerhedsråd mere udviklingsbistand?
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Sprog: English - eng
 Datoer: 2012-12-21
 Sider: -
 Publiceringsinfo: København : Københavns Universitet
 Indholdsfortegnelse: -
 Note: -
 Type: Speciale
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