2018
DOI: 10.1177/1065912918798489
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Receiving Foreign Aid Can Reduce Support for Incumbent Presidents

Abstract: Foreign aid is thought to be useful, and therefore desirable, to recipient governments because it allows them to increase their support through the provision of goods or services. However, the effect of the provision of aid on vote choice has rarely been directly tested. I examine the effect of receiving foreign aid on incumbent electoral support in three African countries using a spatial difference in differences design. Surprisingly, receiving aid lowers support for incumbent presidents. I test two mechanism… Show more

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Cited by 17 publications
(36 citation statements)
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“…To mitigate selection bias, we use a spatial difference-in-differences estimator. Spatial difference-in-differences has been used in several recent studies of aid (Briggs 2019; Isaksson and Kotsadam 2018a; Kotsadam et al 2018). In essence, we make three comparisons.…”
Section: Methodsmentioning
confidence: 99%
See 1 more Smart Citation
“…To mitigate selection bias, we use a spatial difference-in-differences estimator. Spatial difference-in-differences has been used in several recent studies of aid (Briggs 2019; Isaksson and Kotsadam 2018a; Kotsadam et al 2018). In essence, we make three comparisons.…”
Section: Methodsmentioning
confidence: 99%
“…We test the observable implications of our theory by combining data from the Afrobarometer survey with information on the locations of US-and Chinese-funded aid projects gleaned from AidData and the Aid Information Management Systems (AIMS) of African finance and planning ministries (Dreher et al 2016;Strange et al 2017). To correct for potential selection effects arising from the non-random distribution of Chinese and US aid, we use a spatial difference-indifferences estimator with country and Afrobarometer round fixed effects, which allows us to compare the attitudes of citizens living near completed projects to the attitudes of those living near planned (future) projects for which a formal agreement has not yet been reached (Briggs 2019;Isaksson and Kotsadam 2018a;Kotsadam et al 2018). Our identifying assumption is that planned and completed projects are subject to similar selection processes, such that citizens who live near planned projects are valid counterfactuals for those living near completed ones.…”
mentioning
confidence: 99%
“…19.Briggs 2014, 2017, 2019; Dreher et al 2019; Civellia, Horowitz, and Teixeira 2018; Jablonski 2014; Knutsen and Kotsadam 2020; Kotsadam et al 2018; Öhler and Nunnenkamp 2014.…”
mentioning
confidence: 99%
“…79 As we discuss in Section B.2 of the supplementary material, some respondents live near more than one completed or planned project. Following most spatial difference-in-differences analyses of this sort (Briggs 2019;Kotsadam 2018a, Isaksson andKotsadam 2018b), we focus on estimating the effect of Chinese and US projects on the extensive rather than the intensive margin. In Section B.7, we show that our conclusions are unchanged when we instead use the number of projects within a thirty-kilometer radius of each respondent.…”
Section: Cross-country Research Designmentioning
confidence: 99%