Using Donor-Driven Changes to Identify the Impact of Aid on African Governance

@inproceedings{Gibson2007UsingDC,
  title={Using Donor-Driven Changes to Identify the Impact of Aid on African Governance},
  author={Clark C. Gibson and Craig McIntosh},
  year={2007}
}
We propose and implement a new empirical strategy to measure the causal impact of foreign aid on the quality of governance in Africa. We present a simple theoretical model which illustrates the endogeneity problem present in much of the extant literature, and use this model to motivate a method for calculating the component of fluctuations in aid which is… CONTINUE READING