Working Paper: NBER ID: w16610
Authors: Nathan Nunn; Nancy Qian
Abstract: We examine the supply-side and demand-side determinants of global bilateral food aid shipments between 1971 and 2008. First, we find that domestic food production in developing countries is negatively correlated with subsequent food aid receipts, suggesting that food aid receipt is partly driven by local food shortages. Interestingly, food aid from some of the largest donors is the least responsive to production shocks in recipient countries. Second, we show that U.S. food aid is partly driven by domestic production surpluses, whereas former colonial ties are an important determinant for European countries. Third, amongst recipients, former colonial ties are especially important for African countries. Finally, aid flows to countries with former colonial ties are less responsive to recipient production, especially for African countries.
Keywords: food aid; Africa; developing countries; colonial ties; domestic production
JEL Codes: F13; F19; O11; O19
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| lower domestic food production in recipient countries (F35) | increased food aid receipts (F35) |
| US domestic production surpluses (E23) | amount of food aid provided (F35) |
| former colonial ties (F54) | food aid flows to African countries (F35) |
| food aid from large donors, such as the US (F35) | responsiveness to recipient production shocks (F41) |