That is the question we explore in a new paper I have written with Andrew Kerner and Alison Beatty. Both political scientist at University of Michigan. Most of you would know that there is a GDP per capita threshold that determines whether you are a Low Income country or not. This threshold is determined by IDA (of the World Bank Group) and in turn it decides whether you get cheaper loans and aid. If countries were gaming the statistics on would see a clustering of countries just below the threshold. We find a cluster just below the line.
Got my doubts on this!
I got my doubts on this paper….. twice a charm – Maybe (he, he)