Dreher, Axel; Eichenauer, Vera; Gehring, Kai - C.E.P.R. Discussion Papers - 2014
We investigate the effects of short-term political motivations on the effectiveness of foreign aid. Donor countries …’ political motives might reduce the effectiveness of conditionality, channel aid to inferior projects, reduce the aid bureaucracy … variables are invalid instruments for aid, raising doubts about a large number of results in the aid effectiveness literature. …