JSPES, Vol. 35, No. 1 (Spring 2010)
pp. 79-94

American Foreign Aid Before and During the War on Terror: An Empirical Examination

Baban Hasnat

The College at Brockport
State University of New York

The paper uses time series and cross-section data to examine the impact of the Global War on Terror (GWOT) on the U.S. bilateral aid allocation in 144 countries. For its theoretical and conceptual basis, the paper draws on international and development economics. It uses descriptive statistics (1996-2007) to analyze the data and multivariate analysis (1996-2006) to test the hypotheses. The paper finds that aid allocation is affected by the GWOT. While the GWOT may have increased the amount and the number of countries receiving aid, the paper finds that the degree to which aid focuses on low income countries has not changed.