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Investing in Conflict Management

Author

Listed:
  • GARANCE GENICOT

    (Department of Economics University of California, Irvine)

  • STERGIOS SKAPERDAS

    (Department of Economics University of California, Irvine)

Abstract

Achieving peace and building the institutions that will make it last require much time and effort on the part of adversaries. While making this effort, the likelihood of peace is uncertain, and preparations for conflict are ongoing. Using a model that takes such considerations into account, adversaries divide their resources between “guns,†“butter,†and investments in conflict management. Even when all adversaries undertake sizable investments in conflict management, peace is uncertain. Results show that larger initial wealth increases the likelihood of peace, whereas the number of adversaries can have widely different effects. A larger number of adversaries in cases of international conflict tends to increase the likelihood of peace but has the opposite effect in cases of domestic conflict.

Suggested Citation

  • Garance Genicot & Stergios Skaperdas, 2002. "Investing in Conflict Management," Journal of Conflict Resolution, Peace Science Society (International), vol. 46(1), pages 154-170, February.
    • Handle: RePEc:sae:jocore:v:46:y:2002:i:1:p:154-170
    DOI: 10.1177/0022002702046001009
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    Cited by:

    1. Stergios Skaperdas, 2008. "An economic approach to analyzing civil wars," Economics of Governance, Springer, vol. 9(1), pages 25-44, January.
    2. McBride, Michael & Skaperdas, Stergios, 2014. "Conflict, settlement, and the shadow of the future," Journal of Economic Behavior & Organization, Elsevier, vol. 105(C), pages 75-89.
    3. Stergios Skaperdas, 2011. "Proprietary Public Finance: On its Emergence and Evolution out of Anarchy," CESifo Working Paper Series 3495, CESifo.
    4. Skaperdas Stergios, 2020. "The Decline of US Power and the Future of Conflict Management after Covid," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 26(3), pages 1-07, September.
    5. Jean-Paul Azam, 2002. "Looting and Conflict between Ethnoregional Groups," Journal of Conflict Resolution, Peace Science Society (International), vol. 46(1), pages 131-153, February.
    6. Michael McBride & Gary Milante & Stergios Skaperdas, 2011. "Peace and War With Endogenous State Capacity," Journal of Conflict Resolution, Peace Science Society (International), vol. 55(3), pages 446-468, June.
    7. Bharat Goel & Arijit Sen, 2019. "Appropriative Conflicts and the Evolution of Property Rights," Working Papers tax-mpg-rps-2019-06, Max Planck Institute for Tax Law and Public Finance.
    8. Garfinkel, Michelle R., 2004. "Stable alliance formation in distributional conflict," European Journal of Political Economy, Elsevier, vol. 20(4), pages 829-852, November.
    9. Michael McBride & Stergios Skaperdas, 2005. "Explaining Conflict in Low-Income Countries: Incomplete Contracting in the Shadow of the Future," CESifo Working Paper Series 1636, CESifo.
    10. Martin Mcguire, 2002. "Property distribution and configurations of sovereign states: A rational economic model," Defence and Peace Economics, Taylor & Francis Journals, vol. 13(4), pages 251-270.
    11. Amegashie, J. Atsu & Kutsoati, Edward, 2007. "(Non)intervention in intra-state conflicts," European Journal of Political Economy, Elsevier, vol. 23(3), pages 754-767, September.
    12. Bevia Carmen & Corchón Luis C, 2006. "Rational Sabotage in Cooperative Production with Heterogeneous Agents," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 6(1), pages 1-27, November.
    13. Caruso, Raul, 2007. "Conflict and Conflict Managment with Asymmetric Stakes (The Bad-Cop and the Good Cop part II)," MPRA Paper 1438, University Library of Munich, Germany.
    14. Antonis Adam & Petros G. Sekeris, 2010. "Self-Containment: Achieving Peace in Anarchic Settings," Working Papers 1014, University of Namur, Department of Economics.
    15. Michelle R. Garfinkel, 2004. "On the Stability of Group Formation: Managing the Conflict Within," Conflict Management and Peace Science, Peace Science Society (International), vol. 21(1), pages 43-68, February.
    16. Raul Caruso, 2008. "Reciprocity in the shadow of threat," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 55(1), pages 91-111, April.
    17. Raul Caruso, 2006. "A Trade Institution as a Peaceful Institution? A Contribution to Integrative Theory," Conflict Management and Peace Science, Peace Science Society (International), vol. 23(1), pages 53-72, February.
    18. Economou Emmanouil M.L. & Kyriazis Nicholas C., 2016. "Choosing Peace Instead of War. A Lesson from Athenian Democracy," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 22(2), pages 191-212, April.
    19. Aniruddha Bagchi & João Ricardo Faria & Timothy Mathews, 2019. "A model of a multilateral proxy war with spillovers," Public Choice, Springer, vol. 179(3), pages 229-248, June.
    20. Libman, Alexander Mikhailovich, 2009. "Эндогенные Границы И Распределение Власти В Федерациях И Международных Сообществах [ENDOGENOUS BOUNDARIES AND DISTRIBUTION OF POWER In the Federation]," MPRA Paper 16473, University Library of Munich, Germany.
    21. Garfinkel, Michelle R. & Skaperdas, Stergios, 2007. "Economics of Conflict: An Overview," Handbook of Defense Economics, in: Keith Hartley & Todd Sandler (ed.), Handbook of Defense Economics, edition 1, volume 2, chapter 22, pages 649-709, Elsevier.

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    More about this item

    JEL classification:

    • M19 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Other
    • F02 - International Economics - - General - - - International Economic Order and Integration

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