This paper examines whether green Official Development Aid (ODA) has a significant role in mitigating carbon emissions in recipient countries, and if institutional quality matters for the effectiveness of green ODA. For 86 green ODA recipient countries over the period 2003–2014, we explore the nexus between green ODA, institutions and carbon emissions. By using a two-step system generalized method of moment (GMM), we find that green ODA overall has no direct association with the mitigation of carbon emissions. However, when institutional quality indices are included, we found a significant effect of institutional quality on the effectiveness of green ODA. In general, green ODA is associated with higher carbon emissions in countries with poor institutions. In particular, green ODA is effective in mitigating carbon emissions when channeled to countries that enjoy higher economic freedom as well as more freedom from corruption. Results are mixed for the rule of law.

中文翻译：

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绿色官方发展援助和碳排放：机构重要吗？

本文探讨了绿色官方发展援助 (ODA) 在受援国减少碳排放方面是否具有重要作用，以及制度质量是否对绿色 ODA 的有效性很重要。对于 2003-2014 年期间的 86 个绿色 ODA 受援国，我们探讨了绿色 ODA、机构和碳排放之间的关系。通过使用两步系统广义矩量法 (GMM)，我们发现绿色 ODA 总体上与减缓碳排放没有直接关联。然而，当包括机构质量指数时，我们发现机构质量对绿色 ODA 的有效性有显着影响。一般而言，绿色 ODA 与制度薄弱的国家的碳排放量增加有关。特别是，绿色 ODA 在提供给享有更高经济自由度和更多免于腐败的国家时，可有效减少碳排放。法治的结果喜忧参半。