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This paper discusses the impact of foreign aid on the recipient country's preparedness against natural disasters. The theoretical model shows that foreign aid can have two opposing effects on a country's level of mitigating activities. In order to test the theoretical propositions, the authors analyze the effect of foreign aid dependence on ex-ante risk-management activity proxied by the death toll from major storms, floods and earthquakes occurring worldwide between 1980 and 2002. They find evidence that the crowding-out effect of foreign aid outweighs the preventive effect in the case of storms, while there is mixed evidence in the case of floods and earthquakes.
Conflict and Development --- Death tolls --- Disaster --- Disaster events --- Disaster Management --- Disaster preparedness --- Disaster reduction --- Disaster relief --- Disaster risk --- Disaster risk reduction --- Disaster victims --- Earthquake --- Earthquakes --- Environment --- Flood --- Floods --- Hazard Risk Management --- Hurricane --- Natural Disaster --- Natural Disasters --- Natural hazards --- Reconstruction --- Storm --- Storms --- Urban Development
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Research suggests that a donor country's decision to provide post-disaster assistance is not only driven by the severity of a disaster and the resulting humanitarian needs in the recipient country, but also by strategic considerations. The authors argue that the identification of the determinants of the size of disaster assistance is a first step in the analysis of the donor's behavior. Since all aid is not motivated by the same reasons, the evaluation of the donor country's behavior requires a second step accounting for the type and the channel of aid provided. Using data on international disaster assistance between 2000 and 2007, the analysis examines both the donor countries' decision on the channel (bilateral versus multilateral) and the type of disaster relief (cash versus in-kind). The empirical results suggest that international disaster relief is not as much driven by the needs of the recipient country, but also by strategic interests (for example, oil or trade relationships) of the donor country. Bilateral and cash transfers are used as a vehicle to signal strategic interests, while multilateral and in-kind transfers are chosen to control for misuse in badly governed recipient countries.
Coastal and Marine Environment --- Conflict and Development --- Death tolls --- Development Economics and Aid Effectiveness --- Development network --- Disaster --- Disaster aid --- Disaster assistance --- Disaster Management --- Disaster reduction --- Disaster relief --- Disaster risk --- Disaster risk reduction --- Disaster type --- Economic Theory and Research --- Emergency assistance --- Emerging Markets --- Environment --- Fatalities --- Flood --- Floods --- Gender --- Gender and Health --- Governance --- Governance Indicators --- Hazard Risk Management --- Humanitarian assistance --- International agencies --- Macroeconomics and Economic Growth --- Natural Disaster --- Natural Disasters --- Post Conflict Reconstruction --- Private Sector Development --- Tsunami --- Type of disaster --- Urban Development
Choose an application
Research suggests that a donor country's decision to provide post-disaster assistance is not only driven by the severity of a disaster and the resulting humanitarian needs in the recipient country, but also by strategic considerations. The authors argue that the identification of the determinants of the size of disaster assistance is a first step in the analysis of the donor's behavior. Since all aid is not motivated by the same reasons, the evaluation of the donor country's behavior requires a second step accounting for the type and the channel of aid provided. Using data on international disaster assistance between 2000 and 2007, the analysis examines both the donor countries' decision on the channel (bilateral versus multilateral) and the type of disaster relief (cash versus in-kind). The empirical results suggest that international disaster relief is not as much driven by the needs of the recipient country, but also by strategic interests (for example, oil or trade relationships) of the donor country. Bilateral and cash transfers are used as a vehicle to signal strategic interests, while multilateral and in-kind transfers are chosen to control for misuse in badly governed recipient countries.
Coastal and Marine Environment --- Conflict and Development --- Death tolls --- Development Economics and Aid Effectiveness --- Development network --- Disaster --- Disaster aid --- Disaster assistance --- Disaster Management --- Disaster reduction --- Disaster relief --- Disaster risk --- Disaster risk reduction --- Disaster type --- Economic Theory and Research --- Emergency assistance --- Emerging Markets --- Environment --- Fatalities --- Flood --- Floods --- Gender --- Gender and Health --- Governance --- Governance Indicators --- Hazard Risk Management --- Humanitarian assistance --- International agencies --- Macroeconomics and Economic Growth --- Natural Disaster --- Natural Disasters --- Post Conflict Reconstruction --- Private Sector Development --- Tsunami --- Type of disaster --- Urban Development
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