Tsakiris, Nikos; Hatzipanayotou, Panos; Michael, Michael S. - In: Theory and practice of foreign aid, (pp. 85-104). 2006
We examine the allocation of a pre-determined amount of aid from a donor to two recipient countries. The donor suffers from cross-border pollution resulting from production activities in the recipient countries. It is shown that the recipient with the higher fraction of aid allocated to public...
