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World Economy Brief

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Environmental ODA to Africa - Policies, Determinants and Implications

We explore the trends and policies of environmental ODA - that is, aid with a focus on the environment - and empirically analyze the determinants of Japanese and Swedish environmental ODA for Africa utilizing the OECD CRS(Creditor Reporting System) data. We find that each country has its own environmental ODA policies. Various models were used, moreover, to assess the determinants for Japan and Sweden’s environmental ODA. The Hausman test reveals that the random effect model is most fitting for Japan, and the fixed effect model for Sweden. This means that for Japan, observable characteristics and unobservable heterogeneity have no correlation; consequently, these two factors are not simultaneously considered when determining environmental ODA to Africa. On the other hand, the fact that Sweden’s environmental ODA to Africa is determined based on the fixed effect model means that a correlation exists between unobservable heterogeneity and observable characteristics, which is in turn because Sweden considers both observable and unobservable factors when determining environmental ODA to Africa.
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공공누리 OPEN / 공공저작물 자유이용허락 - 출처표시, 상업용금지, 변경금지 공공저작물 자유이용허락 표시기준 (공공누리, KOGL) 제4유형

대외경제정책연구원의 본 공공저작물은 "공공누리 제4유형 : 출처표시 + 상업적 금지 + 변경금지” 조건에 따라 이용할 수 있습니다. 저작권정책 참조

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