Supporting agriculture in developing countries: new insights on the impact of official development assistance using a climate perspective

Agricultural and Food Economics

Table 3 Effects of mitigation and adaptation agricultural aid on TFP

TFP (log)	Total value (log)		Number of projects		Average value (log)
TFP (log)	(1)	(2)	(1)	(2)	(1)	(2)
Mitigation aid
Agricultural aid (L2)		− 0.202		− 0.083		− 0.916
Agricultural aid (L2)		(0.31)		(0.05)		(5.53)
Instrument (L2)	− 3.124		− 7.599*		-0.69
Instrument (L2)	(4.72)		(4.11)		(4.20)
Country FE	Yes	Yes	Yes	Yes	Yes	Yes
Time FE	Yes	Yes	Yes	Yes	Yes	Yes
Under identification		0.44		3.50		0.03
Weak identification		0.44		3.42		0.03
N	1170	1170	1170	1170	1170	1170
Adaptation aid
Agricultural aid (L2)		0.008**		0.009**		0.010**
Agricultural aid (L2)		(0.00)		(0.01)		(0.01)
Instrument (L2)	54.135***		47.459***		42.938***
Instrument (L2)	(3.96)		(4.73)		(3.57)
Country FE	Yes	Yes	Yes	Yes	Yes	Yes
Time FE	Yes	Yes	Yes	Yes	Yes	Yes
Under identification		80.52		67.88		69.211
Weak identification		186.90		100.74		144.82
N	1170	1170	1170	1170	1170	1170

Note:Robust standard errors in parentheses. Statistical significance: *** 1%; ** 5%, * 10%. FE stands for fixed effects. The instrument is the US industrial production index (log value, 2-year lag) multiplied by the country’s average probability of receiving aid