Axel Dreher|Peter Nunnenkamp|Rainer Thiele
Are ‘New’ Donors Different? Comparing the Allocation of Bilateral Aid Between nonDAC and DAC Donor Countries
Heidelberg University|Ifo Institute for Economic Research|Swiss Finance Institute|University of Göttingen|IZA - Institute of Labor Economics|Kiel Institute for the World Economy|Kiel Institute for the World Economy
major dac donors widely criticized weak targeting aid selfish aid motives insufficient coordination emergence increasing number new donors may complicate coordination international aid efforts time open question whether new donors many aid recipients recently altruistic provide better targeted aid according need merit projectlevel data aid new donors collected aiddata initiative allow empirical analyses comparing allocation behavior new versus old donors employ probit tobit models test significant differences distribution aid new old donors across recipient countries find average new donors care less recipient need old donors new old donors behave similarly several respects however disregard merit taking level corruption recipient countries account concerns commercial selfinterest distorts allocation aid seem overblown groups