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Out of the ashes, into the fire: The consequences of U.S. weapons sales for political violence

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  • Magesan, Arvind
  • Swee, Eik Leong

Abstract

We examine the effect of U.S. weapons purchases on political violence in 191 countries during the period 1970–2008. Our identification strategy exploits exogenous shifts in the cost of purchasing U.S. commercial weapons, through a combination of time variation in U.S. inflation and cross-sectional variation in a country’s historical frequency of purchases. We find that weapons purchases reduce the likelihood of political repression but increase the likelihood of onset of civil war in purchasing countries. The results suggest that state investment in military capability incites civil war in countries where state repression of an aggrieved opposition would have otherwise prevailed.

Suggested Citation

  • Magesan, Arvind & Swee, Eik Leong, 2018. "Out of the ashes, into the fire: The consequences of U.S. weapons sales for political violence," European Economic Review, Elsevier, vol. 107(C), pages 133-156.
  • Handle: RePEc:eee:eecrev:v:107:y:2018:i:c:p:133-156
    DOI: 10.1016/j.euroecorev.2018.05.003
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    Cited by:

    1. Toke S. Aidt & Facundo Albornoz & Esther Hauk, 2019. "Foreign in influence and domestic policy: A survey," Cambridge Working Papers in Economics 1928, Faculty of Economics, University of Cambridge.
    2. Gallea, Quentin, 2023. "Weapons and war: The effect of arms transfers on internal conflict," Journal of Development Economics, Elsevier, vol. 160(C).
    3. Toke S. Aidt & Facundo Albornoz & Esther Hauk, 2021. "Foreign Influence and Domestic Policy," Journal of Economic Literature, American Economic Association, vol. 59(2), pages 426-487, June.
    4. Alexander Cotte Poveda & Jorge Martinez Carvajal, 2019. "Economic Development, Political Violence and Socio-Political Instability in Colombia: An Econometric Analysis Using Panel Data," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 237-253.

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