French Aid for a French France? Matthew Cullom Andrea Moneton
Research Question Does immigration to France affect the allocation of French foreign aid?
Hypothesis Expectations French ODA on immigration to France Immigration to France (by country of of origin) French ODA
Background Immigration in France French Cultural Exceptionalism Policy History Front National - “Non à l’Islamisme” Polling
Effects of Immigration Ortega and Peri (2009) – no “crowding out” and overall increase in employment Borjas (2003) Immigration hurts domestic workforce Fetzer (2010) and the Scapegoat effect
Foreign Aid Merit or Donor Interest Model? Maizels and Nissanke (1984) Traditional Determinants Hoeffler (2008) 2/3 due to donor’s strategic considerations Alesina (2000) Military alliances, ex-colony status, democracy French Determinants Economics - Schrader, Hook, and Taylor (1998) Culture – Rioux (2005)
Aid and Migration Major literature Azam and Berlinschi (2000) Aid increases immigration Bermeo (2009) Donors provide more aid to larger sources of immigration Berthélemy (2009) attraction effect, threshold, possible contradiction Problem of Endogeneity
Data Independent Variable 360 country years of immigration data to France From Institut National D’Etudes Demographiques Dependent Variable 4743 country years on foreign aid flows from OECD As used by Vreeland and Dreher (2014) Assumptions Final panel of 735 observations
Descriptive Findings High ImmigrationMedium ImmigrationLow Immigration
Control Variables 1.Language and Le Monde Coverage 2.Colonial Status 3.Religion/Ethnicity 4.Overall development level
Regression Results with Fixed Effects
Table 1. Original Regression With Fixed Effects Increased Observations Immigration to France 0.10**-0.15Omitted War (>1,000 deaths) Natural Log of GDP per capita Polity 2 score * 0.06* U.S. Military Assistance (2011 Dollars) Natural Log of Population 0.56*** -0.76** French as Official Language 1.19*** (.) Excolony 1.30*** (.) Muslim (.) _cons -4.02*** 13.84*** Number of observations R-squared
Polity Amount of French ODA given over polity
Cultural Control Variables Culture TableOriginal Increased Observations b/t French Language 1.19*** 0.80** Ex Colony 1.30*** 2.13*** Muslim _cons -4.02*** 77.24*** Number of observations R-squared
Conclusion Evidence suggests immigration does not affect France’s allocation of bilateral foreign aid. Statistical limitations Significant factors Polity Ex-colony status Adoption of French as national language Other Approaches European Union policies Potential Domestic Policy Solutions
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