IDEAS home Printed from https://ideas.repec.org/p/hal/wpaper/hal-04731539.html
   My bibliography  Save this paper

Infrastructure aid for resource trade? The crossroads of strategy and sustainable development

Author

Listed:
  • Hendrik Kruse

    (UO - Université d'Orléans)

  • Thais Nunez Rocha

    (UO - Université d'Orléans)

  • Camelia Turcu

    (UO - Université d'Orléans)

Abstract

We investigate the claim that rich countries use development aid to ensure access to natural resources. We provide a theoretical model that suggests that even an altruistic donor may be inclined to allocate a higher share of their aid expenditure on infrastructure and other trade-promoting measures if they rely on the recipient's resource exports for their own production. We use a panel dataset from 2001 to 2011. Our results suggest that bilateral resource trade on average positively affects the number of infrastructure projects and their average size. The effect seems to be driven mostly by fuels and road infrastructure projects. While the effect of resources is weaker for landlocked countries, we find that the transport capacity of the recipient's fleet of bulk carriers ---used in the maritime transport of many resources--- reinforces the effect of resources on infrastructure aid. Finally, we find a decreasing influence of resources over time.

Suggested Citation

  • Hendrik Kruse & Thais Nunez Rocha & Camelia Turcu, 2024. "Infrastructure aid for resource trade? The crossroads of strategy and sustainable development," Working Papers hal-04731539, HAL.
    • Handle: RePEc:hal:wpaper:hal-04731539
    DOI: 10.5281/zenodo.13916687
    Note: View the original document on HAL open archive server: https://hal.science/hal-04731539v1
    as

    Download full text from publisher

    File URL: https://hal.science/hal-04731539v1/document
    Download Restriction: no
    File URL: https://libkey.io/10.5281/zenodo.13916687?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Keywords

    Foreign Aid Resource exports Political Economy Trade costs Infrastructure JEL Codes: F18 F35 O13 Q01 Q56 1; Foreign Aid; Resource exports; Political Economy; Trade costs; Infrastructure JEL Codes: F18; F35; O13; Q01; Q56 1;
    All these keywords.

    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • F18 - International Economics - - Trade - - - Trade and Environment
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:wpaper:hal-04731539. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.