Browsing by Author "Manaye, Tiglun"

Now showing 1 - 1 of 1
  • No Thumbnail Available
    Item
    The Incentive Effect of Foreign Aid under Alternative Political Regimes
    (Addis Ababa University, 2006-07) Manaye, Tiglun; Geda, Alemayehu (Associate Professor)
    Inspired by a new stream of research that shows the significant role institutions play in determining economic performance, aid effectiveness and aid allocation, this study explores the relationship between aid, institutions and democracy. Using cross-country data for 91 developing countries it examines the determinants of aid and institutional quality and finds that selectivity is present and strong since the end of the cold war in aid allocation by donors. However it finds no significant positive incentive effects of this approach yet, but the pattern in the data shows democracies are relatively weak in responding to the incentive effect the new rule of aid allocation has on institutional reforms.