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Pareto-improving Untied Aid with Environmental Externalities |
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| Authors: | |
| Institution: | (1) Department of Social Engineering, Tokyo Institute of Technology, 2-12-1 O-okayama, Meguro-ku, Tokyo, 152-8552, Japan |
| Abstract: | This paper shows that even untied aid is Pareto-improving if and only if the marginal propensity to consume the polluting good in the donor country is sufficiently larger than in the recipient country. |
| Keywords: | Pareto-improving untied aid environmental externalities marginal propensity to consume the polluting good |
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