American Economic Review Vol. 92 No. 4 2002

Do Corrupt Governments Receive Less Foreign Aid?

Alberto Alesina¹; Beatrice Weder²

¹ Economics Department, Harvard University, Littauer 324, North Yard, Cambridge, MA 02138. · ² FB 03 Department of Economics, University of Mainz, 55099 Mainz, Germany.

Abstract

Critics of foreign aid programs argue that these funds often support corrupt governments and inefficient bureaucracies. Supporters argue that foreign aid can be used to reward good governments. This paper documents that there is no evidence that less corrupt governments receive more foreign aid. On the contrary, according to some measures of corruption, more corrupt governments receive more aid. Also, we could not find any evidence that an increase in foreign aid reduces corruption.

DOI

10.1257/00028280260344669

Volume

92

Issue

4

Pages

1126-1137

Language

en

Sources

bibtex:phds-export.bib openalex crossref

Cite

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