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The Hard Problem of Prediction for Conflict Prevention

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  • Hannes Mueller
  • Christopher Rauh

Abstract

There is a growing interest in prevention in several policy areas and this provides a strong motivation for an improved integration of forecasting with machine learning into models of decision making. In this article we propose a framework to tackle conflict prevention. A key problem of conflict forecasting for prevention is that predicting the start of conflict in previously peaceful countries needs to overcome a low baseline risk. To make progress in this hard problem this project combines a newspaper-text corpus of more than 4 million articles with unsupervised and supervised machine learning. The output of the forecast model is then integrated into a simple static framework in which a decision maker decides on the optimal number of interventions to minimize the total cost of conflict and intervention. This exercise highlights the potential cost savings of prevention for which reliable forecasts are a prerequisite.

Suggested Citation

  • Hannes Mueller & Christopher Rauh, 2021. "The Hard Problem of Prediction for Conflict Prevention," Working Papers 1244, Barcelona School of Economics.
  • Handle: RePEc:bge:wpaper:1244
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    Cited by:

    1. Hannes Mueller & Christopher Rauh, 2022. "Using past violence and current news to predict changes in violence," International Interactions, Taylor & Francis Journals, vol. 48(4), pages 579-596, July.
    2. Hannes Mueller & Christopher Rauh, 2022. "Building Bridges to Peace: A Quantitative Evaluation of Power-Sharing Agreements," Working Papers 1368, Barcelona School of Economics.
    3. Alonso-Alvarez, Irma & Molina, Luis, 2023. "How to foresee crises? A new synthetic index of vulnerabilities for emerging economies," Economic Modelling, Elsevier, vol. 125(C).
    4. Diakonova, Marina & Ghirelli, Corinna & Molina, Luis & Pérez, Javier J., 2023. "The economic impact of conflict-related and policy uncertainty shocks: The case of Russia," International Economics, Elsevier, vol. 174(C), pages 69-90.
    5. Sidney Michelini & Barbora Šedová & Jacob Schewe & Katja Frieler, 2023. "Extreme weather impacts do not improve conflict predictions in Africa," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-10, December.
    6. Mueller,Hannes Felix & Techasunthornwat,Chanon, 2020. "Conflict and Poverty," Policy Research Working Paper Series 9455, The World Bank.
    7. Mark Musumba & Naureen Fatema & Shahriar Kibriya, 2021. "Prevention Is Better Than Cure: Machine Learning Approach to Conflict Prediction in Sub-Saharan Africa," Sustainability, MDPI, vol. 13(13), pages 1-18, July.
    8. Roberto Marfè & Julien Pénasse, 2020. "Measuring Macroeconomic Tail Risk," Carlo Alberto Notebooks 621, Collegio Carlo Alberto.

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    More about this item

    Keywords

    armed conflict; forecasting; machine learning; newspaper text; random forest; topic models;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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