Fighting fire with aid : development assistance as counterinsurency tool. Evidence for Colombia / Edgar H. Sanchez-Cuevas.
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TextLanguage: English Series: Documentos CEDE ; 30Publisher: Bogotá : Universidad de los Andes, Facultad de Economía, CEDE, 2018Description: 55 páginas : Ilustraciones, mapa, gráficos ; 28 cmContent type: texto Media type: sin mediación Carrier type: volumenISSN: 1657-5334Subject(s): Conflicto armado -- Aspectos sociales -- Colombia | Conflicto armado -- Aspectos económicos -- Colombia | Asistencia Económica -- ColombiaDDC classification: 303.6 Online resources: Consulta en línea Abstract: I study the causal effect of the foreign aid for development assistance ?implemented by the U.S. Agency for International Development (USAID)? on the intensity of municipality-level armed conflict in Colombia, for the period 2009-2013. To address potential endogeneity biases, I use a Bartik-like instrument which exploits the spatial persistence of aid from USAID in Colombia. Specifically, I instrument foreign aid with the interaction between the United States GDP and municipality-level intent-to-treat indicators for the Malaria Eradication Campaigns (circa 1957). The results point out that foreign aid reduces the insurgency associated with left-wing guerrillas, especially FARC. However, foreign aid does not affect the violence associated with criminal gangs from right-wing paramilitary origins (BACRIM). I provide both quantitative and anecdotic evidence on two potential mechanisms behind my results: (i) Development programs raise the opportunity cost of fighting and; (ii) foreign aid improves the trust, and the information flows between civilians and the government.
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I study the causal effect of the foreign aid for development assistance ?implemented by the U.S. Agency for International Development (USAID)? on the intensity of municipality-level armed conflict in Colombia, for the period 2009-2013. To address potential endogeneity biases, I use a Bartik-like instrument which exploits the spatial persistence of aid from USAID in Colombia. Specifically, I instrument foreign aid with the interaction between the United States GDP and municipality-level intent-to-treat indicators for the Malaria Eradication Campaigns (circa 1957). The results point out that foreign aid reduces the insurgency associated with left-wing guerrillas, especially FARC. However, foreign aid does not affect the violence associated with criminal gangs from right-wing paramilitary origins (BACRIM). I provide both quantitative and anecdotic evidence on two potential mechanisms behind my results: (i) Development programs raise the opportunity cost of fighting and; (ii) foreign aid improves the trust, and the information flows between civilians and the government.
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