Abstract
We estimate the impact of foreign aid on corruption using geographical and cultural distance to the donor countries as instrumental variables to assess causality. Aid decreases corruption. Our results are statistically and economically significant and robust to different controls.
Original language | English |
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Pages (from-to) | 99-106 |
Number of pages | 8 |
Journal | Economics Letters |
Volume | 79 |
Issue number | 1 |
DOIs | |
Publication status | Published - 1 Apr 2003 |
Keywords
- Corruption
- Instrumental variables
- International aid