Arbeitspapier

The costs of favoritism: is politically-driven aid less effective?

As is now well documented, aid is given for both political as well as economic reasons. The conventional wisdom is that politically-motivated aid is less effective in promoting developmental objectives. We examine the ex-post performance ratings of World Bank projects and generally find that projects that are potentially politically motivated - such as those granted to governments holding a non-permanent seat on the United Nations Security Council or an Executive Directorship at the World Bank - are no more likely, on average, to get a negative quality rating than other projects. When aid is given to Security Council members with higher short-term debt, however, a negative quality rating is more likely. So we find evidence that World Bank project quality suffers as a consequence of political influence only when the recipient country is economically vulnerable in the first place.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 4820

Klassifikation
Wirtschaft
International Linkages to Development; Role of International Organizations
Macroeconomic Analyses of Economic Development
Foreign Aid
Thema
World Bank
aid effectiveness
political influence
United Nations Security Council
Entwicklungshilfe
Entwicklungsfinanzierung
Entwicklungsprojekt
Projektbewertung
Public Choice
Internationale Organisation
Internationale Sicherheit
Mitgliedschaft
Auslandsverschuldung
Welt

Ereignis
Geistige Schöpfung
(wer)
Dreher, Axel
Klasen, Stephan
Vreeland, James Raymond
Werker, Eric
Ereignis
Veröffentlichung
(wer)
Institute for the Study of Labor (IZA)
(wo)
Bonn
(wann)
2010

Handle
Letzte Aktualisierung
10.03.2025, 11:41 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Dreher, Axel
  • Klasen, Stephan
  • Vreeland, James Raymond
  • Werker, Eric
  • Institute for the Study of Labor (IZA)

Entstanden

  • 2010

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