Working Paper
Does Aid-for-Trade from the North Promote South-South Trade?
Our empirical estimations indicate that aid-for-trade granted by OECD donors strengthens the trade relations of recipient countries with other developing countries. By focusing on South-South trade we mitigate endogeneity concerns that have plagued analyses of trade between recipients and donors of aid-for-trade.
Key Words
- aid effectiveness
- aid-for-trade
- south-south trade