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Relative Trade Preferential Margin and Aid for Trade Allocation

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  • Sèna Kimm Gnangnon

Abstract

This article investigates the interplay between non-reciprocal trade preferences and Aid for Trade (AfT) by examining the extent to which relative preferential margins (RPM) enjoyed by recipient countries affect AfT flows supplied by donors. The empirical results suggest that the RPM exerts a significant and positive impact on the bilateral AfT inflows that recipient countries enjoy from donors. In addition, when this impact is lower, the higher the recipient countries’ level of economic development. Furthermore, the analysis indicates that the influence of RPM on AfT is dependent on non-AfT (i.e., the aid flows allocated to the non-trade sector) allocated to recipient countries.

Suggested Citation

  • Sèna Kimm Gnangnon, 2018. "Relative Trade Preferential Margin and Aid for Trade Allocation," The International Trade Journal, Taylor & Francis Journals, vol. 32(3), pages 240-267, May.
    • Handle: RePEc:taf:uitjxx:v:32:y:2018:i:3:p:240-267
    DOI: 10.1080/08853908.2017.1353455
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    Cited by:

    1. Gnangnon, Sèna Kimm, 2022. "Duration of the Membership in the World Trade Organization and Aid for Trade Flows," EconStor Preprints 260562, ZBW - Leibniz Information Centre for Economics.
    2. Gnangnon, Sèna Kimm, 2020. "Aid for Trade flows and Poverty Reduction in Recipient-Countries," EconStor Preprints 213807, ZBW - Leibniz Information Centre for Economics.

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