September 2024
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4 Reads
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1 Citation
Emerging Markets Review
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September 2024
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4 Reads
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1 Citation
Emerging Markets Review
May 2024
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1 Read
Does the US administration exercise more informal influence over the World Bank when it has less control over US bilateral aid because of opposition from Congress? Replicating four studies of the World Bank, we show that years with a divided US government account for earlier findings of informal influence. This link between donor domestic politics and the exercise of influence in multilateral settings is important for understanding informality in international organizations and provides an alternate explanation to persistent questions about the role of international organizations in the international political economy.
January 2024
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4 Reads
June 2023
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28 Reads
The Review of International Organizations
July 2022
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84 Reads
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8 Citations
The Review of International Organizations
Do the normal rules of the game apply in international organizations during a global pandemic? We explore this question by comparing regular and COVID-19 World Bank loans. Analyzing lending from April 2, 2020 (the start of COVID-19 lending) to December 31, 2020, we find different results for the two types of World Bank loans. Looking at regular loans, countries that vote more in line with the U.S. on UN General Assembly resolutions are more likely to receive loans. For COVID-19 loans, geopolitics is not a significant factor. In contrast to ordinary business, the World Bank appears to have kept politics out of its pandemic response, instead more effectively focusing on provision of an important international public good.
September 2021
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93 Reads
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21 Citations
World Development
Starting even before its founding in 2015, the Asian Infrastructure Investment Bank (AIIB) has attracted controversy. Critics—especially the U.S. administration—claim the bank is an instrument of China intended to advance narrow Chinese interests and thereby undermine U.S. influence globally. But does AIIB lending show any Chinese influence? Analysis on AIIB lending patterns has been scant. Based on AIIB loan data through the end of 2019, our analysis suggests the AIIB is facilitating “remedial multilateralism” for China, whereby countries economically distant from China have privileged access to AIIB loans. This is contrary to expectations from “supplementary multilateralism,” whereby the multilateral setting reinforces existing bilateral ties. The paper advances the notions of supplementary and remedial multilateralism and provides a comprehensive analysis of AIIB loans in the first four years of the institution’s operation. It, thus, contributes to the understanding of how China’s rise is affecting the landscape of multilateral development finance.
May 2021
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35 Reads
The Review of International Organizations
January 2021
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332 Reads
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22 Citations
The Review of International Organizations
Do U.S. presidential administrations exert more informal influence over international financial institutions when they face an uncooperative Congress and thus have less control over bilateral aid? Reexamining four empirical studies of the World Bank, we demonstrate that U.S. informal influence is driven by years with divided U.S. government. This provides a richer picture of when and why the U.S. exerts influence in multilateral settings and an alternate explanation to persistent questions about the role of international organizations in the international political economy.
December 2019
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35 Reads
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4 Citations
Canadian Journal of Economics/Revue Canadienne d`Economique
World Bank projects sometimes receive supplemental loans months or years after initial project approval. Largely unnoticed, supplemental lending has mushroomed in the last decade, accounting for nearly 30% of all new loans in some years. These loans can serve important functions, as they come without the bureaucratic delays associated with new projects. We argue that supplemental loans are potentially useful foreign policy tools for powerful donors in settings where time is of the essence. Consistent with this, we find that countries receive significantly larger supplemental loans while serving a two‐year term on the geopolitically important United Nations Security Council. L'essor des prêts supplémentaires au sein de la Banque mondiale. Les projets de la Banque mondiale peuvent parfois bénéficier de prêts supplémentaires plusieurs mois ou années après leur validation initiale. Passant très souvent inaperçus, ces prêts supplémentaires ont proliféré au cours des dernières décennies, représentant certaines années près de 30 % de tous les nouveaux prêts accordés. Échappant aux délais bureaucratiques afférents aux nouveaux projets, ces prêts peuvent revêtir d'importantes fonctions. Nous affirmons que les prêts supplémentaires représentent d'utiles outils de politique étrangère pour les puissants donateurs dans les situations où le temps constitue un élément crucial. Dans cette optique, nous constatons que les pays reçoivent des prêts supplémentaires bien plus importants lorsqu'ils siègent pour deux ans au Conseil de sécurité des Nations Unies, organe éminemment important au plan géopolitique.
September 2019
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96 Reads
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16 Citations
In 2011, the World Bank’s Independent Evaluation Group made its project ratings database public. With broad geographic and sectoral coverage, this database is a valuable resource for research on development effectiveness, what works and what does not. This chapter first provides an overview for scholars interested in evaluation but unfamiliar with the World Bank evaluation system. Next we examine whether geopolitical or institutional factors influence ratings. We focus on how projects are selected for performance assessments and what factors influence project ratings. We find evidence that bureaucratic factors influence selection and that one geopolitical variable—nonpermanent United Nations Security Council membership—impacts ratings. Nonetheless if researchers control for potential biases, World Bank project ratings can provide a valuable way to measure project quality in many applications.
... Second, the use of monthly data allows us to precisely examine the effect of the approval of a new project in a country, while mitigating potential effects linked to other phases of project implementation. In other words, we study short-term reactions of financial markets; therefore, monthly data are more adequate as advanced by Kersting and Kilby (2024). Finally, using monthly data significantly increases the number of observations, enhancing the precision and external validity of our estimates. ...
September 2024
Emerging Markets Review
... Because of this, the country's GDP growth forecasts for 2019-20 fell from 3.3% to 1.9%, and its public debt-to-GDP ratio was already 87.56% prior to the pandemic (Kilby & McWhirter, 2022;Rasheed et al., 2021). ...
July 2022
The Review of International Organizations
... However, evaluating causal effects is a challenge. In previous research, researchers sought to understand the influence of external factors and mechanisms behind common policy tools that subsidize high-growth entrepreneurship and innovation in Asian countries (Kaya et al., 2021;Yormirzoev, 2022). In this context, this study aims to contribute valuable insights to policymakers while also uncovering the various challenges and compromises involved in the innovation journey. ...
September 2021
World Development
... Those results suggest vote buying by developed countries from recipient countries via aid, since the effect increases during years in which key diplomatic events occur (i.e. when the Security Council's vote is crucial). Dreher et al. (2009a), Kersting and Kilby (2019) present a similar pattern for World Bank aid and IMF loans as the number of projects, loans and grants received is higher in years when the recipient has a seat on the UN Security council. Taking a larger sample of donors, Faye and Niehaus (2012) find that bilateral aid can be used not only to influence the recipient's vote at the UN, but also to affect the recipient's domestic election results. ...
December 2019
Canadian Journal of Economics/Revue Canadienne d`Economique
... Project evaluations could also be vulnerable to the influence of geopolitical considerations. However, Kilby and Michaelowa (2019) find no evidence of such influence, concluding that the IEG has been able to function "as an institutionally independent unit." (141) Therefore, these evaluations can be viewed as proxies of project success. ...
September 2019
... 52. Dreher et al. 2013;Honig, Lall, and Parks 2022;Kilby and Michaelowa 2019. specified in the aid agreement; 53 and whether the World Bank performed its functions effectively. ...
May 2016
... For more detailed analyses of the US influence on World Bank internal processes and policies, see also Fleck and Kilby (2006), Kilby (2009Kilby ( , 2013, Clark and Dolan (2021), Kersting and Kilby (2021). ...
January 2021
The Review of International Organizations
... the World Bank may especially invest in countries whose outcomes are marginal by sending high-performing managers. There could also be political economy considerations and strategic political alignments that drive such allocation, as shown by Dreher et al. (2009), Kersting andKilby (2018) and Dreher et al. (2019).While all of the above interpretations are plausible, future research might strive to develop a methodological approach able to quantify the relative contribution of these different elements to the negative assortative matching. ...
August 2016
... China actively takes bureaucratic efforts to transform the United Nations from within. Our findings advance a research agenda predominantly focusing on the influence of powerful states, like the United States and its allies (Clark & Dolan, 2020; see also Stone, 2002Stone, , 2004Stone, , 2008Stone, , 2011Thacker, 1999;Barro & Lee, 2005;Dreher & Jensen, 2007;Dreher et al., 2009;Andersen et al., 2006a, b;Hawkins et al., 2006;Kersting & Kilby, 2016;Malik & Stone, 2018;Vreeland, 2019). This paper first explains China's priorities to modify global governance discourse through international institutions like those under the UN umbrella. ...
April 2016
Journal of Development Economics
... A few researchers have devised clever ways to check for evaluation bias related to their particular question (Dreher et al. 2013) but it is 1 Outsider papers includes Buntaine and Parks (2013), Dreher et al. (2013), Girod and Tobin (2011), Kilby (2015), Malik and Stone (2016), Michaelowa and Borrmann (2006), Sud and Olmstead-Rumsey (2012), and Winters (2014). Insider papers include Blum (2014), Bulman et al. (2015), Chauvet et al. (2010), Chauvet et al. (2015), Cruz and Keefer (2013), Deininger et al. (1998), Denizer et al. (2013), Dollar and Levin (2005), Dollar and Svensson (2000), Geli et al. (2014), Guillaumont and Laajaj (2006), Isham and Kaufmann (1999), Isham et al. (1997), Kaufmann and Wang (1995), Limodio (2011), Malesa and Silarszky (2005), Moll et al. (2015), Pohl et al. (1992), Ralston (2014) and Smets et al. (2013). an issue that anyone using these data must address if they wish to draw meaningful conclusions from their analysis. ...
January 1998