Chinese Aid and Democratic Values in Latin America

Andreas Freytag () and Miriam Kautz ()
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Miriam Kautz: Friedrich-Schiller University Jena

No 2022-006, Jena Economics Research Papers from Friedrich-Schiller-University Jena

Abstract: International economic engagement has been increasingly framed in terms of liberal democratic values. Specifically, Chinese aid has been at the center of this debate. Since Chinese aid comes with "no strings attached", a popular narrative is that Chinese aid poses a challenge to conditional aid, thus weakening democracy promotion. This study aims to deepen our understanding of how democratic values are shaped by international economic engagement. Drawing on the Latinobarómetro Household Survey, we use an instrumental variable approach to test the effect of Chinese aid on attitudes toward democracy in 18 Latin American countries on the national and regional level. We find that Chinese aid has a non-negative effect on support for democracy. We also find that individuals who have a positive attitude towards China are more likely to value democracy. In contrast, positive attitudes towards the USA have no robust impact on support for democracy.

Keywords: China; Latin America; foreign aid; public opinion; support for democracy; values (search for similar items in EconPapers)
JEL-codes: F35 F61 F69 O54 P33 (search for similar items in EconPapers)
Date: 2022-06-23
New Economics Papers: this item is included in nep-cna, nep-dev, nep-fdg and nep-pol
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Related works:
Journal Article: Chinese aid and democratic values in Latin America (2024)
Working Paper: Chinese Aid and Democratic Values in Latin America (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:jrp:jrpwrp:2022-006

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