Daha az gelişmiş ülkelerde yabancı yardım, tüketim düzenleme ve refah kazanımları

This thesis examines the effectiveness, the determinants and the welfare gains of foreign aid channel in smoothing out household consumption. In doing so, data have been collected from World bank indicators database, UN database and OECD database over the period 1975-2016 for 48 Least Developed Countries (LDCs). Using the methodology developed by Asdrubali et al (1996) and adapted by Hadsri (2006), Kose et al (2015) Bali et al (2015), we created an interaction variable (foreign aid and the differences domestic output and world output) and estimate the consumption smoothing country per country and for the whole sample. Moreover, we develop a cross-section equation to determine the explaining factors of variability between countries and finally we derived the welfare gains associate with the consumption smoothing via foreign aid. The results indicate that the hypothesis of partial consumption smoothing is not rejected. The average levels of consumption smoothing via foreign aid is quite low (-0,28%) and confirm previous studies on developing countries. Furthermore, consumption smoothing via foreign aid range from -5,73 % (Bhutan) to 9,36 % (Yemen) and are explain by country-specific factors such as income inequality, financial sector score, economic management, corruption and transparency perception index. The welfare gains for the whole sample is 0,89 %. There is therefore a necessity for policy makers to include these variables for a better effectiveness of aid. Furthermore, due the volatility of aid over the years, recipient countries should look for other strategies of resources mobilization alternatives such as remittances and improvements of taxes.