DEMOCRATIC AID AND THE DEMOCRATIZATION OF RECIPIENTS |
| |
| Authors: | SARANTIS KALYVITIS IRENE VLACHAKI |
| |
| Institution: | 1. Associate Professor, Department of International and European Economic Studies, Athens University of Economics and Business, Patission Str. 76, Athens 10434, Greece. Phone (+30210) ?8203174, Fax (+30210) ?8203137.;2. Graduate, Department of International and European Economic Studies, Athens University of Economics and Business, Patission Street 76, Athens 10434, Greece. Phone +30210‐8203354, Fax +30210‐8203137, E‐mail vlachaki@aueb.gr;3. Financial support through project “Pythagoras II” cofinanced by the European Social Fund and the Ministry of Education in Greece is gratefully acknowledged. Vlachaki would also like to acknowledge financial support by the Propontis Foundation, the A.G. Leventis Foundation, and the Academy of Athens. We have benefited from comments by K. Angelopoulos, A. Chouliaras, P. Koundouri, E. Papaioannou, M. Tsionas, and J. Fidrmuc and by participants at the IIER Third Conference on International Political Economy held in Athens, the WIDER International Conference on “Aid: Principles, Policies and Performance” held in Helsinki, the “2nd International Nonlinear Science Conference” held in Crete, and at the Athens University of Economics and Business. The usual disclaimer applies. |
| |
| Abstract: | We investigate whether democratic aid flows, which are directed toward the democratization of recipients by covering democracy‐related programs and government and civil society activities, affect the future political regime of recipient countries. We introduce a multinomial multivariate logit model and we use 5‐yr averaged data covering the period 1972–2004 for 59 democracy aid‐recipient countries categorized into three broad classes according to the prevalent political regime. We find strong evidence that democratic aid flows are positively associated with the likelihood of observing a partly democratic or a fully democratic political regime in democratic aid‐recipient countries and that this result is robust to the potential endogeneity of democratic assistance.(JEL D70, F35, C25) |
| |
| Keywords: | |
|
|
