Trade, Openness and Domestic Conflict: An Empirical Investigation for Latin America
AbstractThis paper explores whether there is an empirical relationship between trade, openness and domestic conflict for Latin America based on the analytical framework of Garfinkel, Skaperdas and Syropoulos (2004). Using ordinal regressions and Markov switching models for seventeen countries, we identify the factors responsible for the initiation and sustenance of domestic conflict. Our overall results suggest that: (i) increased trade openness reduces domestic conflict intensities but (ii) over dependence on agricultural exports, along with poor socio-political performance, lead to sustenance of low intensity conflicts. We also analyze conflict duration using proportional hazard models and find that over-reliance on agricultural exports plays the main role in conflict sustenance after controlling for socio-political factors.
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Bibliographic InfoPaper provided by Deakin University, Faculty of Business and Law, School of Accounting, Economics and Finance in its series Economics Series with number 2006_02.
Length: 59 pages
Date of creation: 12 Oct 2006
Date of revision:
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Trade Openness; Domestic Conflict; Ordinal Regression; Markov Switching; Proportional Hazard Model; Latin America;
Other versions of this item:
- Prasad S. Bhattacharya & Dimitrios D. Thomakos, 2007. "Trade, openness, and domestic conflict: an empirical investigation for Latin America," Economics of Peace and Security Journal, Economists for Peace and Security (UK), vol. 2(2), pages 77-80, June.
- C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
- O54 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
- Q34 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Natural Resources and Domestic and International Conflicts
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