Arbeitspapier

The Politics of Foreign Aid.

Why do donor countries give foreign aid? The answers found in the literature are: (i) because donor countries care for recipient countries (e.g. altruism), and/or (ii) because there exist distortions that make the indirect gains from foreign aid (e.g. terms of trade effects) to be larger than the direct losses. This paper proposes a third answer to the above question, namely that aid is determined through the domestic political process of the donor country. The paper demonstrates how foreign aid affects the donor country’s income distribution and how, in a direct democracy, the majority of voters might benefit from foreign aid giving even though the country’s social welfare is reduced.

Sprache
Englisch

Erschienen in
Series: EPRU Working Paper Series ; No. 1999-07

Klassifikation
Wirtschaft

Ereignis
Geistige Schöpfung
(wer)
Mayer, Wolfgang
Raimondos-Møller, Pascalis
Ereignis
Veröffentlichung
(wer)
University of Copenhagen, Economic Policy Research Unit (EPRU)
(wo)
Copenhagen
(wann)
1999

Handle
Letzte Aktualisierung
10.03.2025, 11:45 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Mayer, Wolfgang
  • Raimondos-Møller, Pascalis
  • University of Copenhagen, Economic Policy Research Unit (EPRU)

Entstanden

  • 1999

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