Diplomacy & Defense Think Tank News

This paper investigates the impact of aid for trade (AfT) targeted at trade policies on the participation of recipient countries in global value chains (GVCs), and how this impact varies with their prevailing political regimes. In democratic countries, the need for the authorities to account for the interests of various stakeholders (e.g., lobbies, trade unions) can compromise the allocation, use, and effectiveness of AfT. In contrast, less democratic regimes are typically more insulated from political pressures, which may lead to more effective outcomes of aid. At the same time, integration into some complex GVCs requires efficient and democratic institutions, to which these products are sensitive. Employing a sample of 110 countries and data covering 2002-2018, we control for standard determinants of GVC participation, while examining the effect of AfT and the moderating role of the political regime in place. Our estimation addresses the endogeneity of aid through an appropriate instrumentation strategy. Our results suggest that the effect of AfT is mostly positive in autocratic regimes, indicating more effective trade policy reforms. When we account for regional disparities, we find evidence that AfT for trade policy is also impactful in some democratic regimes. This might suggest that the efficacy of AfT is not strictly regime-dependent, but hinges on the government’s commitment to carry out significant reforms leading to greater participation in the global economy.

This paper investigates the impact of aid for trade (AfT) targeted at trade policies on the participation of recipient countries in global value chains (GVCs), and how this impact varies with their prevailing political regimes. In democratic countries, the need for the authorities to account for the interests of various stakeholders (e.g., lobbies, trade unions) can compromise the allocation, use, and effectiveness of AfT. In contrast, less democratic regimes are typically more insulated from political pressures, which may lead to more effective outcomes of aid. At the same time, integration into some complex GVCs requires efficient and democratic institutions, to which these products are sensitive. Employing a sample of 110 countries and data covering 2002-2018, we control for standard determinants of GVC participation, while examining the effect of AfT and the moderating role of the political regime in place. Our estimation addresses the endogeneity of aid through an appropriate instrumentation strategy. Our results suggest that the effect of AfT is mostly positive in autocratic regimes, indicating more effective trade policy reforms. When we account for regional disparities, we find evidence that AfT for trade policy is also impactful in some democratic regimes. This might suggest that the efficacy of AfT is not strictly regime-dependent, but hinges on the government’s commitment to carry out significant reforms leading to greater participation in the global economy.

This paper investigates the impact of aid for trade (AfT) targeted at trade policies on the participation of recipient countries in global value chains (GVCs), and how this impact varies with their prevailing political regimes. In democratic countries, the need for the authorities to account for the interests of various stakeholders (e.g., lobbies, trade unions) can compromise the allocation, use, and effectiveness of AfT. In contrast, less democratic regimes are typically more insulated from political pressures, which may lead to more effective outcomes of aid. At the same time, integration into some complex GVCs requires efficient and democratic institutions, to which these products are sensitive. Employing a sample of 110 countries and data covering 2002-2018, we control for standard determinants of GVC participation, while examining the effect of AfT and the moderating role of the political regime in place. Our estimation addresses the endogeneity of aid through an appropriate instrumentation strategy. Our results suggest that the effect of AfT is mostly positive in autocratic regimes, indicating more effective trade policy reforms. When we account for regional disparities, we find evidence that AfT for trade policy is also impactful in some democratic regimes. This might suggest that the efficacy of AfT is not strictly regime-dependent, but hinges on the government’s commitment to carry out significant reforms leading to greater participation in the global economy.

This event was produced within the framework of MOST – Media Organisations for Stronger Transnational Journalism, a Journalism Partnership co-funded by the European Union and focussed on independent media specializing in international reporting. Views and opinions expressed are however those of the author(s) only and do not necessarily reflect those of the European Union or [name of the granting authority]. Neither the European Union nor the granting authority can be held responsible for (…)

- Agenda / Région parisienne, Agenda - Diaporama, Colonne de droite - A ne pas manquer

La rencontre littéraire autour du recueil de poésie « Hormis l'incendie de forêt » de Simona Dmitrović aura lieu le mercredi 3 juin 2026 à 19h dans la bibliothèque du Centre culturel de Serbie. Entrée libre dans la limite des places disponibles.
Simona Dmitrović est née à Belgrade en 1999. Lauréate du prix « Mladi Dis » en 2024, elle a également remporté d'autres distinctions, notamment au Festival de Poésie des Jeunes de Vrbas en 2025, ainsi que le prix Branko en 2025 pour « Hormis (…)

- Agenda / Région parisienne, Serbie

Main agenda items, approximate timing, public sessions and press opportunities.

Weekly schedule of President António Costa, 25-31 May 2026.

Kereskedelem: a Tanács jóváhagyta a fejlődő országoknak nyújtott kereskedelmi kedvezményekre vonatkozó szabályok szigorítását

Az ipar és a fogyasztók költségeinek csökkentéséhez való hozzájárulásként, valamint az ellátási láncok diverzifikálása érdekében az EU egy évre felfüggeszti a mezőgazdaságban használt, nitrogénalapú termésnövelő anyagokra kivetett vámokat.

Wartezeiten, Entfernungen und Kosten erschweren medizinische Versorgung – Vielen Geflüchteten fällt es schwer, sich im Gesundheitssystem zu orientieren – Abbau von Zugangshürden entscheidend Geflüchtete stoßen in Deutschland insbesondere in den ersten Jahren nach ihrer Ankunft auf erhebliche Hürden ...

In Paris delegates convened at the ‘future of development cooperation’ conference organised by the OECD's DCD which supports the work of the OECD Development Assistance Committee (DAC), the leading traditional donors' aid club.

In Paris delegates convened at the ‘future of development cooperation’ conference organised by the OECD's DCD which supports the work of the OECD Development Assistance Committee (DAC), the leading traditional donors' aid club.

In Paris delegates convened at the ‘future of development cooperation’ conference organised by the OECD's DCD which supports the work of the OECD Development Assistance Committee (DAC), the leading traditional donors' aid club.

Aktionsbündnis Katastrophenhilfe: Berlin (ots) - Seit 25 Jahren steht das Aktionsbündnis Katastrophenhilfe für schnelle, koordinierte und wirksame Hilfe für Menschen in größter Not. Wenn Naturkatastrophen, Konflikte oder Epidemien Menschen in existenzielle Krisen stürzen, ...

SAT.1: Unterföhring (ots) - Neuanfang vor der Traumkulisse der bayerischen Alpen: Am Montag, 29. Juni 2026, übernimmt "Die Landarztpraxis - Team Sonnenhof" um 19 Uhr in SAT.1. Bereits in der Vorwoche lernen die Zuschauerinnen und Zuschauer der ...