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Assets, Activity Choices, and Civil War: Evidence from Burundi

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  • Bundervoet, Tom

Abstract

Summary This article examines the relation between risky assets and activity choices in rural Burundi. The literature says that when assets are risky, their effectiveness as a buffer is eroded. A corollary of this is that even wealthier households will engage in income-skewing activities. Exploiting the differential degree in asset risk related to the spatial intensity of the civil war, we find that higher asset holdings do not induce households in the war regions to reduce investment in safe low-return activities--as opposed to households in other regions. This potentially explains (in part) the massive increase in poverty in the war regions.

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  • Bundervoet, Tom, 2010. "Assets, Activity Choices, and Civil War: Evidence from Burundi," World Development, Elsevier, vol. 38(7), pages 955-965, July.
  • Handle: RePEc:eee:wdevel:v:38:y:2010:i:7:p:955-965
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    Citations

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    Cited by:

    1. Beekman, Gonne & Bulte, Erwin H., 2012. "Social norms, tenure security and soil conservation: Evidence from Burundi," Agricultural Systems, Elsevier, vol. 108(C), pages 50-63.
    2. Bove, Vincenzo & Gavrilova, Evelina, 2014. "Income and Livelihoods in the War in Afghanistan," World Development, Elsevier, vol. 60(C), pages 113-131.
    3. Carlos Bozzoli & Tilman Brueck & Tony Muhumuza, 2016. "Activity Choices Of Internally Displaced Persons And Returnees: Quantitative Survey Evidence From Post-War Northern Uganda," Bulletin of Economic Research, Wiley Blackwell, vol. 68(4), pages 329-347, October.
    4. repec:eee:wdevel:v:95:y:2017:i:c:p:196-210 is not listed on IDEAS
    5. Lionel Jeusette & Philip Verwimp, 2017. "Childhood aspirations, occupational outcomes and exposure to violence: Evidence from Burundi," HiCN Working Papers 247, Households in Conflict Network.
    6. Jean-François Maystadt & Olivier Ecker, 2014. "Extreme Weather and Civil War: Does Drought Fuel Conflict in Somalia through Livestock Price Shocks?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(4), pages 1157-1182.
    7. Philip Verwimp & Juan Carlos Muñoz-Mora, 2013. "Returning Home after Civil War: Food security, nutrition and poverty among Burundian households," HiCN Working Papers 123, Households in Conflict Network.
    8. Jean-Francois Maystadt & Olivier Ecker & Athur Mabiso, 2013. "Extreme Weather and Civil War in Somalia: Does Drought Fuel Conflict through Livestock Price Shocks?," LICOS Discussion Papers 32613, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    9. Fransen, Sonja & Ruiz, Isabel & Vargas-Silva, Carlos, 2017. "Return Migration and Economic Outcomes in the Conflict Context," World Development, Elsevier, vol. 95(C), pages 196-210.
    10. Bageant, Elizabeth & Liu, Yanyan & Diao, Xinshen, 2016. "Agriculture-nutrition linkages and child health in the presence of conflict in Nepal:," IFPRI discussion papers 1515, International Food Policy Research Institute (IFPRI).

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