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Decentralized provision of disaster aid: aid fragmentation and the poverty implications

Manabu Nose ()
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Manabu Nose: The University of Tokyo

International Tax and Public Finance, 2022, vol. 29, issue 5, No 2, 1098-1127

Abstract: Abstract Despite large-scale humanitarian aid, the headcount poverty rate continued to rise after the 2004 Indian Ocean tsunami in Indonesia. Drawing on the unique survey that tracks households over seven years, this paper examines the causes of prolonged poverty and inequality. Donor fragmentation and the weakness in monitoring the quality of in-kind aid created sizable long-term welfare costs on the recipients. While local elite capture distorts the intra-village allocation, quantile regression found that spatial unevenness in available aid, with heterogeneous quality, had a persistent negative distributional impact on the lives of the poor.

Keywords: Decentralization; Donor competition; Disaster aid; Governance (search for similar items in EconPapers)
JEL-codes: H40 H84 O12 Q54 (search for similar items in EconPapers)
Date: 2022
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DOI: 10.1007/s10797-021-09698-7

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