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Foreign Aid Responses to Political Liberalization


Reinsberg, Bernhard (2015). Foreign Aid Responses to Political Liberalization. World Development, 75:46-61.

Abstract

This paper analyzes the impact of political liberalization on receipt of foreign aid. It distinguishes different types of donors facing different constraints in rewarding democratization with foreign aid, notably bilateral donors, the World Bank, and the European Commission. Based on a sample of 174 recipient countries from 1995 to 2009, the paper jointly examines short-term dynamics and long-term effects of sustained liberalization. Except for the World Bank, donors react to regime change. Bilateral donors are found to reward political liberalization in the second year after transition.

Abstract

This paper analyzes the impact of political liberalization on receipt of foreign aid. It distinguishes different types of donors facing different constraints in rewarding democratization with foreign aid, notably bilateral donors, the World Bank, and the European Commission. Based on a sample of 174 recipient countries from 1995 to 2009, the paper jointly examines short-term dynamics and long-term effects of sustained liberalization. Except for the World Bank, donors react to regime change. Bilateral donors are found to reward political liberalization in the second year after transition.

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7 citations in Web of Science®
7 citations in Scopus®
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Additional indexing

Item Type:Journal Article, refereed, original work
Communities & Collections:06 Faculty of Arts > Institute of Political Science
Dewey Decimal Classification:320 Political science
Uncontrolled Keywords:foreign aid, democratization, bilateral donors, multilateral donors, World Bank, European Union
Language:English
Date:November 2015
Deposited On:29 Oct 2015 06:39
Last Modified:08 Dec 2017 14:24
Publisher:Elsevier
ISSN:0305-750X
Publisher DOI:https://doi.org/10.1016/j.worlddev.2014.11.006

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