Arbeitspapier
Does German development aid promote German exports and German employment? A sectoral-level analysis
This paper uses an augmented gravity model of trade to investigate the link between German development aid and sectoral exports from Germany to the aid recipient countries. The findings indicate that in the long run each dollar of German aid is associated with an average increase of 0.83 US dollars of German exports of goods. The effect varies by sector and the sectors that gain the most are machinery, electrical equipment and transport equipment. By using German input-output tables and according to our estimates, the aid-induced gains in exports generate a total employment effect of about 216,000 jobs of which 52,000 jobs are created in machinery, 20,000 in transport equipment, 24,000 in electrical equipment, 23,000 in basic metals, 10,000 in food, beverages and tobacco and 78,000 in business-related services.
- Language
-
Englisch
- Bibliographic citation
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Series: IAI Discussion Papers ; No. 227
- Classification
-
Wirtschaft
Trade: General
Foreign Aid
- Subject
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international trade
foreign aid
Germany
- Event
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Geistige Schöpfung
- (who)
-
Martínez-Zarzoso, Inmaculada
Nowak-Lehmann D., Felicitas
Klasen, Stephan
Johannsen, Florian
- Event
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Veröffentlichung
- (who)
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Georg-August-Universität Göttingen, Ibero-America Institute for Economic Research (IAI)
- (where)
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Göttingen
- (when)
-
2013
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Martínez-Zarzoso, Inmaculada
- Nowak-Lehmann D., Felicitas
- Klasen, Stephan
- Johannsen, Florian
- Georg-August-Universität Göttingen, Ibero-America Institute for Economic Research (IAI)
Time of origin
- 2013
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Does German development aid promote German exports?
Tödliche Ungleichheit : jedes Jahr sterben Millionen Mädchen und Frauen infolge von Diskriminierung
Does German Development Aid Promote German Exports?
Foreign Aid and Recipient Countries' Exports: Does Aid Promote Bilateral Trade?
Foreign aid and recipient countries' exports: Does aid promote bilateral trade?
Drivers of gendered sectoral and occupational segregation in developing countries
Of Donor Coordination, Free-Riding, Darlings, and Orphans: The Dependence of Bilateral Aid on Other Bilateral Giving
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