[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/a/jed/journl/v28y2003i1p137-169.html
   My bibliography  Save this article

Analysis Of Deviations And Delays In Aid Disbursements

Author

Listed:
  • Matthew Odedokun

    (World Institute for Development Economics Research)

Abstract
The study seeks to identify donor-specific factors that cause donors to delay aid disbursement, and to apply a double standard in dealing with the non-compliance of a recipient with regard to aid conditionalities, a practice that promotes uncertainty in the receipt of aid. Annual panel data over 1970-2000 for the 22 members of OECD¡¯s DAC donor group are employed in the empirical study. Our findings suggest that the proportion of pledged aid being disbursed, which shows an increasing trend, is positively affected by the extent to which aid is procurement-tied and by the size of the donor government¡¯s expenditure in relation to GDP. On the other hand, the proportion of aid commitments being disbursed, which appears lower for the G7 countries, is negatively influenced by factors such as abundant donor generosity, the predominance of grants in total aid, the specific targeting of aid to lower-income recipients, high growth in donor economy, as well as high level of checks and balances, and polarization between the executive and legislative branches of government in the donor country.

Suggested Citation

  • Matthew Odedokun, 2003. "Analysis Of Deviations And Delays In Aid Disbursements," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 28(1), pages 137-169, June.
    • Handle: RePEc:jed:journl:v:28:y:2003:i:1:p:137-169
    as

    Download full text from publisher

    File URL: http://www.jed.or.kr/full-text/28-1/Odedokun.PDF
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. A. K. Fosu, 2001. "Economic Fluctuations and Growth in Sub-Saharan Africa: The Importance of Import Instability," Journal of Development Studies, Taylor & Francis Journals, vol. 37(3), pages 71-85.
    2. Robert Lensink & Oliver Morrissey, 2000. "Aid instability as a measure of uncertainty and the positive impact of aid on growth," Journal of Development Studies, Taylor & Francis Journals, vol. 36(3), pages 31-49.
    3. Dawe, David, 1996. "A new look at the effects of export instability on investment and growth," World Development, Elsevier, vol. 24(12), pages 1905-1914, December.
    4. Beck, Thorsten & Clarke, George & Groff, Alberto & Keefer, Philip & Walsh, Patrick, 2000. "New tools and new tests in comparative political economy - the database of political institutions," Policy Research Working Paper Series 2283, The World Bank.
    5. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    6. Charette, Michael F., 1985. "Determinants of export instability in the primary commodity trade of LDC's," Journal of Development Economics, Elsevier, vol. 18(1), pages 13-21.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Christopher Kilby, 2011. "Informal influence in the Asian Development Bank," The Review of International Organizations, Springer, vol. 6(3), pages 223-257, September.
    2. Selaya, Pablo & Sunesen, Eva Rytter, 2012. "Does Foreign Aid Increase Foreign Direct Investment?," World Development, Elsevier, vol. 40(11), pages 2155-2176.
    3. Fleck, Robert K. & Kilby, Christopher, 2010. "Changing aid regimes? U.S. foreign aid from the Cold War to the War on Terror," Journal of Development Economics, Elsevier, vol. 91(2), pages 185-197, March.
    4. Aidy Halimanjaya & Elissaios Papyrakis, 2015. "Donor Characteristics And The Allocation Of Aid To Climate Mitigation Finance," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 6(03), pages 1-25.
    5. Gnangnon, Sèna Kimm, 2020. "Aid for Trade flows and Wage Inequality in the manufacturing sector of recipient-countries," EconStor Preprints 213936, ZBW - Leibniz Information Centre for Economics.
    6. Sèna Kimm Gnangnon, 2021. "Aid for trade and inflation: Exploring the trade openness, export product diversification and foreign direct investment channels," Australian Economic Papers, Wiley Blackwell, vol. 60(4), pages 563-593, December.
    7. Sèna Kimm Gnangnon, 2020. "Effect of Aid for Trade Unpredictability on Trade Policy in Recipient-Countries," Arthaniti: Journal of Economic Theory and Practice, , vol. 19(2), pages 177-203, December.
    8. Sèna Kimm Gnangnon, 2012. "The Effect of Development Aid Unpredictability and Migrants' Remittances on Fiscal Consolidation in Developing Countries," CERDI Working papers halshs-00677108, HAL.
    9. Arndt, Channing & Jones, Sam & Tarp, Finn, 2015. "Assessing Foreign Aid’s Long-Run Contribution to Growth and Development," World Development, Elsevier, vol. 69(C), pages 6-18.
    10. Axel Dreher & Vera Eichenauer & Kai Gehring & Vera Z. Eichenauer, 2013. "Geopolitics, Aid and Growth," CESifo Working Paper Series 4299, CESifo.
    11. Christopher Kilby, 2013. "An Empirical Assessment of Informal Influence in the World Bank," Economic Development and Cultural Change, University of Chicago Press, vol. 61(2), pages 431-464.
    12. Sena Kimm GNANGNON, 2012. "The Effect of Development Aid Unpredictability and Migrants’ Remittances on Fiscal Consolidation in Developing Countries," Working Papers 201210, CERDI.
    13. Sèna Kimm Gnangnon, 2020. "Comparative Advantage Following (CAF) development strategy, Aid for Trade flows and structural change in production," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-29, December.
    14. Gnangnon, Sèna Kimm, 2021. "Aid for trade unpredictability and trade-related government expenditure in recipient-countries," The Quarterly Review of Economics and Finance, Elsevier, vol. 79(C), pages 107-125.
    15. Andrew W. Horowitz & Raja Kali & Hongwei Song, 2021. "Rethinking the aid–growth relationship: A network approach," Review of Development Economics, Wiley Blackwell, vol. 25(1), pages 359-380, February.
    16. Kleemann, Linda & Nunnenkamp, Peter & Thiele, Rainer, 2014. "Gender inequality, female leadership, and aid allocation: A panel analysis of aid for education," WIDER Working Paper Series 010, World Institute for Development Economic Research (UNU-WIDER).
    17. Sèna Kimm Gnangnon, 2012. "The Effect of Development Aid Unpredictability and Migrants' Remittances on Fiscal Consolidation in Developing Countries," Working Papers halshs-00677108, HAL.
    18. Axel Dreher & Vera Z Eichenauer & Kai Gehring, 2018. "Geopolitics, Aid, and Growth: The Impact of UN Security Council Membership on the Effectiveness of Aid," The World Bank Economic Review, World Bank, vol. 32(2), pages 268-286.
    19. Hicks, Daniel L. & Hicks, Joan Hamory & Maldonado, Beatriz, 2016. "Women as policy makers and donors: Female legislators and foreign aid," European Journal of Political Economy, Elsevier, vol. 41(C), pages 46-60.
    20. Linda Kleemann & Peter Nunnenkamp & Rainer Thiele, 2014. "Gender Inequality, Female Leadership, and Aid Allocation: A Panel Analysis of Aid for Education," WIDER Working Paper Series wp-2014-010, World Institute for Development Economic Research (UNU-WIDER).
    21. Arndt, Channing & Jones, Sam & Tarp, Finn, 2015. "Assessing Foreign Aid’s Long-Run Contribution to Growth and Development," World Development, Elsevier, vol. 69(C), pages 6-18.
    22. Gnangnon, Sèna Kimm, 2020. "Aid for Trade, Export Product Diversification and Import Product Diversification," EconStor Preprints 223021, ZBW - Leibniz Information Centre for Economics.
    23. Ruth Vargas Hill, 2005. "Assessing rhetoric and reality in the predictability of aid," Human Development Occasional Papers (1992-2007) HDOCPA-2005-25, Human Development Report Office (HDRO), United Nations Development Programme (UNDP).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Matthew Odedokun, 2010. "Analysis of Deviations and Delays in Aid Disbursements," Working Papers id:3212, eSocialSciences.
    2. Matthew Odedokun, 2003. "Analysis of Deviations and Delays in Aid Disbursements," WIDER Working Paper Series DP2003-26, World Institute for Development Economic Research (UNU-WIDER).
    3. Patrick Guillaumont, 2009. "An Economic Vulnerability Index: Its Design and Use for International Development Policy," Oxford Development Studies, Taylor & Francis Journals, vol. 37(3), pages 193-228.
    4. Sharon G.M. Koh & Grace H.Y. Lee & Eduard J. Bomhoff, 2016. "The dynamics of public opinion towards inequality in Malaysia," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 21(4), pages 578-598, October.
    5. Hayo, Bernd & Voigt, Stefan, 2007. "Explaining de facto judicial independence," International Review of Law and Economics, Elsevier, vol. 27(3), pages 269-290, September.
    6. Markus Reischmann, 2016. "Empirical Studies on Public Debt and Fiscal Transfers," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 63.
    7. Tingley, Dustin, 2010. "Donors and domestic politics: Political influences on foreign aid effort," The Quarterly Review of Economics and Finance, Elsevier, vol. 50(1), pages 40-49, February.
    8. Bialkowski, Jedrzej & Gottschalk, Katrin & Wisniewski, Tomasz Piotr, 2008. "Stock market volatility around national elections," Journal of Banking & Finance, Elsevier, vol. 32(9), pages 1941-1953, September.
    9. Hayo, Bernd & Voigt, Stefan, 2013. "Endogenous constitutions: Politics and politicians matter, economic outcomes don’t," Journal of Economic Behavior & Organization, Elsevier, vol. 88(C), pages 47-61.
    10. César Calderón & Alberto Chong, 2005. "Are Labor Market Regulations an Obstacle for Long-term Growth?," Central Banking, Analysis, and Economic Policies Book Series, in: Jorge Restrepo & Andrea Tokman R. & Norman Loayza (Series Editor) & Klaus Schmidt-Hebbel (Series Edi (ed.),Labor Markets and Institutions, edition 1, volume 8, chapter 6, pages 167-219, Central Bank of Chile.
    11. Sturm, Jan-Egbert & Haan, Jakob de, 2001. "Inflation in developing countries: does Central Bank independence matter?," CCSO Working Papers 200101, University of Groningen, CCSO Centre for Economic Research.
    12. Bernd Hayo & Florian Neumeier, 2016. "Political Leaders' Socioeconomic Background and Public Budget Deficits: Evidence from OECD Countries," Economics and Politics, Wiley Blackwell, vol. 28(1), pages 55-78, March.
    13. Friedrich Heinemann & Benjamin Tanz, 2008. "The impact of trust on reforms," Journal of Economic Policy Reform, Taylor and Francis Journals, vol. 11(3), pages 173-185.
    14. Susanna Wolf, 2007. "Does Aid Improve Public Service Delivery?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 143(4), pages 650-672, December.
    15. Rui Baptista, 2004. "Culture, Institutions and Government Attitudes towards New Firm Entry," Papers on Entrepreneurship, Growth and Public Policy 2004-39, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
    16. Jeffery I. Round & Matthew Odedokun, 2010. "Aid Effort and its Determinants," Working Papers id:3211, eSocialSciences.
    17. Dominik Schreyer, 2019. "Football spectator no-show behaviour in the German Bundesliga," Applied Economics, Taylor & Francis Journals, vol. 51(45), pages 4882-4901, September.
    18. S. Arunachalam & Sridhar N. Ramaswami & Pol Herrmann & Doug Walker, 2018. "Innovation pathway to profitability: the role of entrepreneurial orientation and marketing capabilities," Journal of the Academy of Marketing Science, Springer, vol. 46(4), pages 744-766, July.
    19. Christoph Moser & Axel Dreher, 2010. "Do Markets Care about Central Bank Governor Changes? Evidence from Emerging Markets," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 42(8), pages 1589-1612, December.
    20. Timothy Erickson & Toni M. Whited, 2000. "Measurement Error and the Relationship between Investment and q," Journal of Political Economy, University of Chicago Press, vol. 108(5), pages 1027-1057, October.

    More about this item

    Keywords

    Aid Disbursement; Aid Commitment; Donors; Recipients; Conditionality; Instability; Uncertainty;
    All these keywords.

    JEL classification:

    • F35 - International Economics - - International Finance - - - Foreign Aid

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jed:journl:v:28:y:2003:i:1:p:137-169. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sung Y. Park (email available below). General contact details of provider: https://edirc.repec.org/data/eccaukr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.