Bilateral Donors' Interest vs. Recipients' Development Motives in Aid Allocation: Do All Donors Behave the Same?

16 Pages Posted: 8 May 2006

See all articles by Jean-Claude Berthelemy

Jean-Claude Berthelemy

Université Paris I Panthéon-Sorbonne - Department of Economics

Abstract

I provide an overall empirical assessment of the motivations of ODA granted by rich countries to developing countries, as revealed by aid allocation behaviors. Aid motives combine self-interested and altruistic objectives. I use a three-dimensional panel dataset, combining the donor, recipient and time dimensions, which shows a lot of heterogeneity in donor behavior. Thanks to the width of this dataset, I can test differences of parameters among donors and, in particular, compare their degrees of altruism. Switzerland, Austria, Ireland and most Nordic countries are among the most altruistic. Australia, France, Italy, and to some extent Japan and the United States are among the most egoistic.

Suggested Citation

Berthelemy, Jean-Claude, Bilateral Donors' Interest vs. Recipients' Development Motives in Aid Allocation: Do All Donors Behave the Same?. Review of Development Economics, Vol. 10, No. 2, pp. 179-194, May 2006, Available at SSRN: https://ssrn.com/abstract=898035 or http://dx.doi.org/10.1111/j.1467-9361.2006.00311.x

Jean-Claude Berthelemy (Contact Author)

Université Paris I Panthéon-Sorbonne - Department of Economics ( email )

12 place du Panthéon
Paris, IL
France

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