EconPapers    
Economics at your fingertips  
 

Foreign Aid and Migration

Andreas Fuchs, Gröger, André, Tobias Heidland and Lukas Wellner
Authors registered in the RePEc Author Service: André Gröger

No 19332, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: Wealthy nations increasingly fund foreign aid to address the 'root causes' of migration despite a lack of scientific evidence about its effectiveness. Combining georeferenced World Bank project data (2008–2019) with migration preferences of one million individuals and bilateral flows, we identify the causal effects of aid using event studies and instrumental variables. In the short term, aid raises optimism and institutional trust, reducing migration preferences and asylum flows. In the longer term, aid raises incomes, increasing regular migration, consistent with the 'mobility transition.' Aid can shape migration, but redirects rather than reduces it, with effects reversing over time.

Keywords: Foreign; aid (search for similar items in EconPapers)
JEL-codes: F22 F35 O15 O19 (search for similar items in EconPapers)
Date: 2024-08
New Economics Papers: this item is included in nep-fdg
References: Add references at CitEc
Citations:

Downloads: (external link)
https://cepr.org/publications/DP19332 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cpr:ceprdp:19332

Ordering information: This working paper can be ordered from
https://cepr.org/publications/DP19332

Access Statistics for this paper

More papers in CEPR Discussion Papers from Centre for Economic Policy Research 33 Great Sutton Street, London EC1V 0DX, UK.
Bibliographic data for series maintained by CEPR ().

 
Page updated 2026-09-24
Handle: RePEc:cpr:ceprdp:19332