Publication

This paper empirically tests whether NGOs provide better targeted aid than state agencies. It draws on a Swiss database that covers different forms of NGO aid and official aid benchmarks. The authors apply a Tobit model that accounts for both altruistic and selfish aid motivations. They find that it depends on the source of NGO funding as well as the choice of the official benchmark whether NGOs provide better targeted aid. They also find that the allocation of self-financed NGO aid is very similar to the allocation of official Swiss development aid.