Abstract
This chapter analyzes the patterns, dynamics, and relations between development aid and international trade of the European Union (EU) and China with Sub-Saharan African (SSA) countries for the period 2000–2012. It summarizes some theoretical insights on the relation between international trade and development aid. Then it discusses the dynamics and trends in international trade of SSA countries with EU and China and tracks the reimbursements of development aid provided by EU and China. Finally the relation between development aid and international trade in the cases of the EU and China is assessed using cointegration approach. The results show that while there is no evidence for direct relation between EU’s aid and trade, in the case of China “trade creates aid”.
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Marinov, E., Nestorov, N. (2017). Development Aid and International Trade in Sub-Saharan Africa: EU versus China. In: Wamboye, E., Tiruneh, E. (eds) Foreign Capital Flows and Economic Development in Africa. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-53496-5_13
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DOI: https://doi.org/10.1057/978-1-137-53496-5_13
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