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Christopher B Barrett - One of the best experts on this subject based on the ideXlab platform.
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food aid allocation policies coordination and responsiveness to Recipient Country needs
Agricultural Economics, 2010Co-Authors: Christian Kuhlgatz, Awudu Abdulai, Christopher B BarrettAbstract:We employ censored least absolute deviations and multivariate Tobit estimators to investigate whether food aid flows from the main donor countries respond to Recipient Country needs as reflected in low food availability, low income, or both. We also explore the hypothesis that donor countries specifically coordinate their food aid shipments to Recipient countries. Our findings show that food aid in aggregate and from each donor is significantly targeted at poorer countries and is highly persistent over time. Food aid responses to food availability shortfalls, natural disasters, and violent conflicts are common but more modest and uneven across donors. Finally, we find strong evidence of donor coordination in food aid allocation.
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food aid for market development in sub saharan africa
Social Science Research Network, 2004Co-Authors: Christopher B Barrett, Awudu Abdulai, Peter B R HazellAbstract:Food aid remains contentious, in part because of presumed producer significant in adding to food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture.
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food aid for market development in sub saharan africa
2004Co-Authors: Awudu Abdulai, Christopher B Barrett, Peter B R HazellAbstract:"Food aid remains significant for food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture." Authors' Abstract
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the dynamic effects of u s food aid
Social Science Research Network, 1999Co-Authors: Christopher B Barrett, Sandeep Mohapatra, Donald L SnyderAbstract:Although food aid may have important medium-to-long term effects, there is a glaring absence of empirical research on food aid dynamics. This paper applies vector autoregression methods to data from 18 countries over the period 1961-95. We find evidence that food aid has a pronounced J-curve effect on Recipient Country per capita commercial food imports, but only negligible negative effects on Recipient Country per capita food production. The commercial export gains are primarily enjoyed, however, by the donors' competitors, revealing heretofore unrecognized positive pecuniary trade externalities associated with foreign assistance.
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the dynamic effects of u s food aid
Research Papers in Economics, 1998Co-Authors: Christopher B Barrett, Sandeep Mohapatra, Donald L SnyderAbstract:I. INTRODUCTION The effects of United States food aid on Recipient Country agriculture have been heatedly debated for years. Does food aid depress producer incentives, thereby retarding output growth? Does it substitute for food that would otherwise be imported commercially from the donor, thereby providing balance of payments relief? Does food aid have long-run stimulative effects on Recipient Country commercial imports, thereby developing markets for donors? Are there pecuniary commercial trade externalities caused by food aid, wherein the donor captures either more or less than the marginal increase in Recipient Country commercial food imports that food aid induces? Although food aid may have important medium- to long-term effects, there is a glaring absence of empirical research on these questions using dynamic modeling techniques. We apply vector autoregression methods to a 1961-95 panel of data on food production, food trade, and program food aid shipments from the United States - by far the world's largest bilateral food aid donor - for the 18 countries that have most benefited from U.S. food aid over the past 40 plus years. This analysis uncovers important, intuitive multiyear patterns not previously identified in the vast literature on food aid. II. THE ISSUES Food aid was formalized in the United States in 1954 under Public Law 480 (PL480), the Agricultural Trade Development and Assistance Act (later renamed Food for Peace).(1) Title II (emergency) aid is distributed for humanitarian purposes through charities. Titles I and III, program food aid, provide food on concessional terms that Recipient governments then sell to earn revenue (counterpart funds). Program (nonemergency) food aid represents the lion's share of food aid shipments, historically about 80% of direct, bilateral food aid. Compared to Title II, program food aid is more fungible, more commonly used for broader development purposes by Recipients and for trade promotion purposes by donors, and its effectiveness and desirability are more contested. We study program food aid in this paper, hereafter referring to it simply as "food aid," for the sake of brevity. The multiple, sometimes conflicting objectives of food aid have sparked heated debate over its efficacy in promoting either agricultural development in Recipient economies or trade development for donors. Particularly intense debates have surrounded the questions of whether food aid (1) is "additional" to commercial trade volumes, as the international food aid convention insists, (2) establishes distribution channels and fosters consumer taste for donor Country products, thereby stimulating long-term commercial trade, or (3) depresses or stimulates Recipient Country food production. There are no unambiguous analytical answers to these questions; they demand empirical investigation. While there are other conceptual debates in the literature - and many over operational details - we restrict our attention to these three fundamental issues. The primary question to donor Country agricultural producers is whether food aid creates additional commercial export opportunities. Under international aid agreements, food aid Recipient countries are obliged to maintain a "normal" volume of commercial food imports (the "usual marketing requirement," or UMR) so as to ensure the "additionality" of food aid. If the additionality principle is honored, Acker [1989, 165] observes that "food aid programs provide an opportunity to empty granaries and warehouses, build up taste preferences for U.S. commodities, and through the economic development consequences of our PL 480 programs, build purchasing power for future commercial sales of United States agricultural commodities." As researchers such as Abbott and McCarthy [1982] and Von Braun and Huddleston [1988] note, however, food aid commonly seems to substitute in part for commercial imports, violating the additionality principle. …
Awudu Abdulai - One of the best experts on this subject based on the ideXlab platform.
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food aid allocation policies coordination and responsiveness to Recipient Country needs
Agricultural Economics, 2010Co-Authors: Christian Kuhlgatz, Awudu Abdulai, Christopher B BarrettAbstract:We employ censored least absolute deviations and multivariate Tobit estimators to investigate whether food aid flows from the main donor countries respond to Recipient Country needs as reflected in low food availability, low income, or both. We also explore the hypothesis that donor countries specifically coordinate their food aid shipments to Recipient countries. Our findings show that food aid in aggregate and from each donor is significantly targeted at poorer countries and is highly persistent over time. Food aid responses to food availability shortfalls, natural disasters, and violent conflicts are common but more modest and uneven across donors. Finally, we find strong evidence of donor coordination in food aid allocation.
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food aid for market development in sub saharan africa
Social Science Research Network, 2004Co-Authors: Christopher B Barrett, Awudu Abdulai, Peter B R HazellAbstract:Food aid remains contentious, in part because of presumed producer significant in adding to food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture.
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food aid for market development in sub saharan africa
2004Co-Authors: Awudu Abdulai, Christopher B Barrett, Peter B R HazellAbstract:"Food aid remains significant for food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture." Authors' Abstract
Michael J. Tierney - One of the best experts on this subject based on the ideXlab platform.
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is favoritism a threat to chinese aid effectiveness a subnational analysis of chinese development projects
World Development, 2021Co-Authors: Axel Dreher, Bradley C Parks, Andreas Fuchs, Roland Hodler, Paul A Raschky, Michael J. TierneyAbstract:Abstract Chinese aid comes with few strings attached, allowing Recipient Country leaders to use it for domestic political purposes. The vulnerability of Chinese aid to political capture has prompted speculation that it may be economically ineffective, or even harmful. We test these claims by estimating the effect of Chinese aid on subnational economic development—as measured by per-capita nighttime light emissions—and whether this effect is different at times a jurisdiction is favored politically. Contrary to the conventional wisdom, we do not find that the local receipt of Chinese aid undermines economic development outcomes at either the district level or provincial level. Nor does political favoritism in the allocation of Chinese aid towards the home regions of Recipient Country leaders reduce its effectiveness. Our results—from 709 provinces and 5,835 districts within 47 African countries between 2001 and 2012—demonstrate that Chinese aid improves local development outcomes, regardless of whether such aid is given to jurisdictions at times they are the birth region of the Country’s leader.
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is favoritism a threat to chinese aid effectiveness a subnational analysis of chinese development projects
2019Co-Authors: Axel Dreher, Bradley C Parks, Andreas Fuchs, Roland Hodler, Paul A Raschky, Michael J. TierneyAbstract:Chinese aid comes with few strings attached, allowing Recipient Country leaders to use it for domestic political purposes. The vulnerability of Chinese aid to political capture has prompted speculation that it may be economically ineffective, or even harmful. We test these claims by estimating the effect of Chinese aid on subnational economic development - as measured by per-capita nighttime light emissions - and whether this effect is different in politically favored jurisdictions than in other parts of the Country. Contrary to the conventional wisdom, we do not find that the local receipt of Chinese aid undermines economic development outcomes at either the district level or provincial level. Nor does political favoritism in the allocation of Chinese aid towards the home regions of Recipient Country leaders reduce its effectiveness. Our results - from 709 provinces and 5,835 districts within 47 African countries from 2001-2012 - demonstrate that Chinese aid improves local development outcomes, regardless of whether such aid is allocated to politically consequential jurisdictions.
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aid china and growth evidence from a new global development finance dataset
Social Science Research Network, 2017Co-Authors: Axel Dreher, Bradley C Parks, Austin M Strange, Andreas Fuchs, Michael J. TierneyAbstract:This paper introduces a new dataset of official financing — including foreign aid and other forms of concessional and non-concessional state financing — from China to 138 countries between 2000 and 2014. We use these data to investigate whether and to what extent Chinese aid affects economic growth in Recipient countries. To account for the endogeneity of aid, we employ an instrumental-variables strategy that relies on exogenous variation in the supply of Chinese aid over time resulting from changes in Chinese steel production. Variation across Recipient countries results from a Country’s probability of receiving aid. Controlling for year- and Recipient-fixed effects that capture the levels of these variables, their interaction provides a powerful and excludable instrument. Our results show that Chinese official development assistance (ODA) boosts economic growth in Recipient countries. For the average Recipient Country, we estimate that one additional Chinese ODA project produces a 0.7 percentage point increase in economic growth two years after the project is committed. We also benchmark the effectiveness of Chinese aid vis-a-vis the World Bank, the United States, and all members of the OECD’s Development Assistance Committee (DAC). Our results indicate that Chinese, U.S., and OECD-DAC ODA have positive effects on economic growth, but we find no robust evidence that World Bank aid promotes growth. We also find that, irrespective of the funding source, less concessional and more commercially-oriented types of official finance do not boost economic growth. Finally, we test the popular claim that significant financial support from China impairs the effectiveness of grants and loans from Western donors and lenders. Our results do not support this claim.
Peter B R Hazell - One of the best experts on this subject based on the ideXlab platform.
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food aid for market development in sub saharan africa
Social Science Research Network, 2004Co-Authors: Christopher B Barrett, Awudu Abdulai, Peter B R HazellAbstract:Food aid remains contentious, in part because of presumed producer significant in adding to food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture.
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food aid for market development in sub saharan africa
2004Co-Authors: Awudu Abdulai, Christopher B Barrett, Peter B R HazellAbstract:"Food aid remains significant for food availability in many low-income countries in sub-Saharan Africa, helping to reduce the gap between food consumption needs and supply from domestic production and inventories and commercial imports. Food aid remains a contentious subject, however, and there have been many recent pleas for more effective use of the resource. This study explores how food aid might be used for domestic food market development to facilitate poverty alleviation and economic growth. There are obvious risks to using food aid for market development, just as there have been in using food aid to try to stimulate agricultural development. Because food aid necessarily expands local food supply, it needs to be well targeted if adverse producer price effects are to be avoided. In particular, if food aid can be targeted so as to relieve short-term working capital and transport capacity constraints to the development of downstream processing and distribution capacity in Recipient Country food marketing channels, for example by helping build farmer cooperative groups, then food aid could have salutary effects on sub-Saharan African agriculture." Authors' Abstract
Andreas Fuchs - One of the best experts on this subject based on the ideXlab platform.
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is favoritism a threat to chinese aid effectiveness a subnational analysis of chinese development projects
World Development, 2021Co-Authors: Axel Dreher, Bradley C Parks, Andreas Fuchs, Roland Hodler, Paul A Raschky, Michael J. TierneyAbstract:Abstract Chinese aid comes with few strings attached, allowing Recipient Country leaders to use it for domestic political purposes. The vulnerability of Chinese aid to political capture has prompted speculation that it may be economically ineffective, or even harmful. We test these claims by estimating the effect of Chinese aid on subnational economic development—as measured by per-capita nighttime light emissions—and whether this effect is different at times a jurisdiction is favored politically. Contrary to the conventional wisdom, we do not find that the local receipt of Chinese aid undermines economic development outcomes at either the district level or provincial level. Nor does political favoritism in the allocation of Chinese aid towards the home regions of Recipient Country leaders reduce its effectiveness. Our results—from 709 provinces and 5,835 districts within 47 African countries between 2001 and 2012—demonstrate that Chinese aid improves local development outcomes, regardless of whether such aid is given to jurisdictions at times they are the birth region of the Country’s leader.
-
is favoritism a threat to chinese aid effectiveness a subnational analysis of chinese development projects
2019Co-Authors: Axel Dreher, Bradley C Parks, Andreas Fuchs, Roland Hodler, Paul A Raschky, Michael J. TierneyAbstract:Chinese aid comes with few strings attached, allowing Recipient Country leaders to use it for domestic political purposes. The vulnerability of Chinese aid to political capture has prompted speculation that it may be economically ineffective, or even harmful. We test these claims by estimating the effect of Chinese aid on subnational economic development - as measured by per-capita nighttime light emissions - and whether this effect is different in politically favored jurisdictions than in other parts of the Country. Contrary to the conventional wisdom, we do not find that the local receipt of Chinese aid undermines economic development outcomes at either the district level or provincial level. Nor does political favoritism in the allocation of Chinese aid towards the home regions of Recipient Country leaders reduce its effectiveness. Our results - from 709 provinces and 5,835 districts within 47 African countries from 2001-2012 - demonstrate that Chinese aid improves local development outcomes, regardless of whether such aid is allocated to politically consequential jurisdictions.
-
aid china and growth evidence from a new global development finance dataset
Social Science Research Network, 2017Co-Authors: Axel Dreher, Bradley C Parks, Austin M Strange, Andreas Fuchs, Michael J. TierneyAbstract:This paper introduces a new dataset of official financing — including foreign aid and other forms of concessional and non-concessional state financing — from China to 138 countries between 2000 and 2014. We use these data to investigate whether and to what extent Chinese aid affects economic growth in Recipient countries. To account for the endogeneity of aid, we employ an instrumental-variables strategy that relies on exogenous variation in the supply of Chinese aid over time resulting from changes in Chinese steel production. Variation across Recipient countries results from a Country’s probability of receiving aid. Controlling for year- and Recipient-fixed effects that capture the levels of these variables, their interaction provides a powerful and excludable instrument. Our results show that Chinese official development assistance (ODA) boosts economic growth in Recipient countries. For the average Recipient Country, we estimate that one additional Chinese ODA project produces a 0.7 percentage point increase in economic growth two years after the project is committed. We also benchmark the effectiveness of Chinese aid vis-a-vis the World Bank, the United States, and all members of the OECD’s Development Assistance Committee (DAC). Our results indicate that Chinese, U.S., and OECD-DAC ODA have positive effects on economic growth, but we find no robust evidence that World Bank aid promotes growth. We also find that, irrespective of the funding source, less concessional and more commercially-oriented types of official finance do not boost economic growth. Finally, we test the popular claim that significant financial support from China impairs the effectiveness of grants and loans from Western donors and lenders. Our results do not support this claim.