China and the World Bank—How contrasting development approaches affect the stability of African states
Date Published
Jul 18, 2022
Authors
Kai Gehring, Lennart Kaplan, Melvin H. L. Wong
Publisher
Journal of Development Economics
Citation
Gehring, K., Kaplan, L., and Melvin H. L. Wong. (2022). China and the World Bank—How contrasting development approaches affect the stability of African states. Journal of Development Economics. https://doi.org/10.1016/j.jdeveco.2022.102902
Note: A version of this article was previously published as an AidData Working Paper.
Abstract
China’s development model challenges the approaches of traditional, Western donors like the World Bank. We argue that both aim at stability, but differ in the norms propagated to achieve that. Using fixed effects and IV estimations, we analyze a broad range of subnational stability measures in Africa. Aid by both the World Bank and China does not increase outright conflict nor any type of citizen protest, on average. Both even reduce outright conflict by governments against civilians. Still, Chinese aid is associated with more government repression and an increased acceptance of authoritarian norms, while World Bank projects strengthen democratic values.