Aid to agriculture, trade and take-off

Alessandra Pelloni, Thanasis Stengos and Ilaria Tedesco

Working Paper series from Rimini Centre for Economic Analysis

Abstract: This paper studies the effect of foreign aid to agriculture on the industrialization process of developing countries. Our theoretical analysis suggests a dichotomy between closed and open economies as regards the impact of aid given for productive purposes to the primary sector. Our empirical results confirm our analysis, as we find the effect is positive for landlocked countries only.

Keywords: Dual economy; Agricultural aid; Industrialization; Landlocked countries (search for similar items in EconPapers)
JEL-codes: F1 F4 O1 O4 Q1 (search for similar items in EconPapers)
Date: 2018-02
New Economics Papers: this item is included in nep-agr, nep-dev and nep-int
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Persistent link: https://EconPapers.repec.org/RePEc:rim:rimwps:18-04

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