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DTP2016 - Aid (wk #11)

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Yvan Guichaoua

on 30 March 2016

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Transcript of DTP2016 - Aid (wk #11)

Before entering technical debates, an introspective look

- Why is aiding necessary (if at all)?

- Why am I my interested in working in this field? What is my professional ethic? Which principles guide my actions?
Paradoxes of aid

- humanity one and indivisible yet
ontological inequality
between donors and recipients: charity as dependency
- subjects v objects
- who frames priorities? "White savior industrial complex"
Aid facts

What is ODA



Individual recipients


- Introspection
- Paradoxes of aid
- Aid (ODA) facts
- Aid and the state
- State substitution
- Aid and governance
- Is conditionality the solution?
Aid and the State
State substitution. Humanitarian governance

Aid and governance
Is conditionality the solution?
What is governance?
Are donors propping up autocrats? (Easterly 2010)
Donors' hypocrisy
Aid and freedom
The aid "curse"

Analogy with the NR curse

: strong
state formation
stems from a historical bargaining process, which aid could undermine --> "representation w/o taxation"

“We conclude that states which can raise a substantial proportion of their revenues from the international community are less accountable to their citizens and under less pressure to maintain popular legitimacy” (Moss et al 2006)
Ex ante conditionality
(PRSP)? not credible
Ex post conditionality
? depends on time horizon of recipients
? risks of marginalisation
How are leaders chosen (democratic procedures to appoint representatives)

How officials exert power (quality of government)

L. Diamond's pillars of good governance:
(i.e. professionalism),
commitment to the public good
rule of law
(i.e. access to justice)

Is the aid "curse" substantiated by evidence?

Data bad

Causality difficult to establish
Problem deflected --> how to improve governance?
see: http://ceip.org/1LYhZCv
Over the past few years Kenya has performed a curious mating ritual with its aid donors. The steps are: one, Kenya wins its yearly pledges of foreign aid. Two, the government begins to misbehave, backtracking on economic reform and behaving in an authoritarian manner. Three, a new meeting of donor countries looms with exasperated foreign governments preparing their sharp rebukes. Four, Kenya pulls a placatory rabbit out of the hat. Five, the donors are mollified and the aid is pledged. The whole dance then starts again
The Economist
, 1995, quoted in Svensson (2000)

Are concerns for good governance genuine?
Full transcript