Re-examining Economic Shocks and Civil Conflict
AbstractMiguel, Satyanath, and Ernest Sergenti (2004), henceforth MSS, show that economic growth is negatively related to civil conflict in Africa, using annual rainfall variation as an IV for growth. Antonio Ciccone (2011) argues that thanks to rainfall's mean-reverting nature, rainfall levels are preferable to annual changes. We make three points. First, MSS's findings hold using rainfall levels as instruments. Second, Ciccone (2011) does not provide theoretical justification for preferring rainfall levels. Third, the first-stage relationship between rainfall and growth is weaker after 2000, suggesting that alternative instruments are needed when studying recent conflicts. We highlight the accumulating microeconomic evidence that adverse economic shocks lead to political violence. (JEL D74, E32, O11, O17, O47)
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Bibliographic InfoArticle provided by American Economic Association in its journal American Economic Journal: Applied Economics.
Volume (Year): 3 (2011)
Issue (Month): 4 (October)
Find related papers by JEL classification:
- D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
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- Klomp, Jeroen & Bulte, Erwin H., 2012. "Climate Change, Weather Shocks and Violent Conflict: A Critical Look at the Evidence," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 125861, International Association of Agricultural Economists.
- James Fenske & Namrata Kala, 2012.
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WPS/2012-23, University of Oxford, Department of Economics.
- James Fenske & Namrata Kala, 2012. "Climate, ecosystem resilience and the slave trade," CSAE Working Paper Series 2012-23, Centre for the Study of African Economies, University of Oxford.
- Fenske, James & Kala, Namrata, 2012. "Climate, ecosystem resilience and the slave trade," MPRA Paper 38398, University Library of Munich, Germany.
- Almer, Christian & Laurent-Lucchetti, Jérémy & oechslin, Manuel, 2011. "Income shocks and social unrest: theory and evidence," MPRA Paper 34426, University Library of Munich, Germany.
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