The End of the Cold War and the Efficacy of Foreign Aid Anna Hernick

Research Question How has the global political realignment since the end of the Cold War influenced the efficacy of foreign aid?

Background Cold War world bipolar Post Cold War multipolar Change in donor strategies Debate UNSC membership

Hypothesis Greater benefit with UNSC membership Post Cold War Less politicization, aid more helpful

Methodology Only temporary members Pre-1990 vs. Post-1990 Buena de Mesquita & Smith “quasi-experiment” Only temporary members Pre-1990 vs. Post-1990 Control for regime type, population, GDPpc in 2000

Variables Independent UNSC membership Dependent change in GDPpc from before election to 2 years after end of term

Results During Cold War negative correlation b/w UNSC membership and economic growth Since Cold War no statistically significant relationship

Conclusions Politically motivated infrastructure aid harmful Development-oriented aid no significant effect A step in the right direction?

Image Sources http://www.ncnk.org/dprk-news/2012/new-website-for-un-programs-in-north-korea/ Clip art http://rt.com/politics/usaid-security-russia-ngo-848/ http://www.unicef-irc.org/media-centre/press-kit/