Peace and War With Endogenous State Capacity
We explore how peace or war can occur in the presence of commitment problems. These problems can be reduced by institutions of good governance or, alternatively, state capacity which (a) can be considered a collective good and (b) can be improved through investments. We show how the likelihood of a peace agreement depends on the level of state capacity and on investments in state capacity made by adversaries. In accordance with existing evidence but contrary to various theories of conflict, we find that income levels unambiguously increase the chance of peace. Among other issues, we discuss the critical role of external actors in encouraging or discouraging commitment and in developing good governance institutions.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Genicot, C. & Skaperdas, S., 2000.
"Investing in Confict Management,"
00-01-17, California Irvine - School of Social Sciences.
- Jack Hirshleifer, 1995.
"Theorizing About Conflict,"
UCLA Economics Working Papers
727, UCLA Department of Economics.
- Blattman, Christopher & Miguel, Edward, 2009.
Center for International and Development Economics Research, Working Paper Series
qt90n356hs, Center for International and Development Economics Research, Institute for Business and Economic Research, UC Berkeley.
- Anna K. Jarstad & Desiree Nilsson, 2008. "From Words to Deeds: The Implementation of Power-Sharing Pacts in Peace Accords," Conflict Management and Peace Science, Peace Science Society (International), vol. 25(3), pages 206-223, July.
- Paul Collier & V. L. Elliott & Håvard Hegre & Anke Hoeffler & Marta Reynal-Querol & Nicholas Sambanis, 2003. "Breaking the Conflict Trap : Civil War and Development Policy," World Bank Publications, The World Bank, number 13938.
- Matthew Hoddie & Caroline Hartzell, 2003. "Civil War Settlements and the Implementation of Military Power-Sharing Arrangements," Journal of Peace Research, Peace Research Institute Oslo, vol. 40(3), pages 303-320, May.
- Michael McBride & Stergios Skaperdas, 2009.
"Conflict, Settlement, and the Shadow of the Future,"
CESifo Working Paper Series
2897, CESifo Group Munich.
- 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.
- Michael McBride & Stergios Skaperdas, 2009. "Conflict, Settlement, and the Shadow of the Future," Working Papers 080922, University of California-Irvine, Department of Economics.
- Stergios Skaperdas, 2006.
"Bargaining Versus Fighting,"
060705, University of California-Irvine, Department of Economics.
- Werner, Suzanne & Yuen, Amy, 2005. "Making and Keeping Peace," International Organization, Cambridge University Press, vol. 59(02), pages 261-292, April.
- Powell, Robert, 2006. "War as a Commitment Problem," International Organization, Cambridge University Press, vol. 60(01), pages 169-203, January.
- Mario ChacÃ³n & James A. Robinson & Ragnar Torvik, 2011. "When is Democracy an Equilibrium? Theory and Evidence from Colombiaâ€™s La Violencia," Journal of Conflict Resolution, Peace Science Society (International), vol. 55(3), pages 366-396, June.
- Michael McBride & Stergios Skaperdas, 2005.
"Explaining Conflict in Low-Income Countries: Incomplete Contracting in the Shadow of the Future,"
050606, University of California-Irvine, Department of Economics.
- 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 Group Munich.
- Edward Miguel & Shanker Satyanath & Ernest Sergenti, 2004. "Economic Shocks and Civil Conflict: An Instrumental Variables Approach," Journal of Political Economy, University of Chicago Press, vol. 112(4), pages 725-753, August.
- Michelle R. Garfinkel & Stergios Skaperdas, 2000. "Conflict without Misperceptions or Incomplete Information," Journal of Conflict Resolution, Peace Science Society (International), vol. 44(6), pages 793-807, December.
- Garfinkel, M.R. & Skaperdas, S., 2000.
"Conflict without Misperceptions or Incomplete Information: how the Future Matters,"
99-00-11, California Irvine - School of Social Sciences.
- Michelle R Garfinkel & Stergios Skaperdas, 2001. "Conflict Without Misperceptions or Incomplete Information: How the Future Matters," Levine's Working Paper Archive 563824000000000011, David K. Levine.
- Garfinkel, Michelle R. & Skaperdas, Stergios, 2007.
"Economics of Conflict: An Overview,"
Handbook of Defense Economics,
- Robert H. Bates & Avner Greif & Margaret Levi & Jean-Laurent Rosenthal, 1998. "Analytic Narratives," Economics Books, Princeton University Press, edition 1, number 6355.
- Anbarci, Nejat & Skaperdas, Stergios & Syropoulos, Constantinos, 2002.
"Comparing Bargaining Solutions in the Shadow of Conflict: How Norms against Threats Can Have Real Effects,"
Journal of Economic Theory,
Elsevier, vol. 106(1), pages 1-16, September.
- Anbarci, N. & Skaperdas, S. & Syropoulos, C., 2000. "Comparing Bargaining Solutions in the Shadow of Conflict: How Norms Against Threats Can Have Real Effects," Papers 00-01-19, California Irvine - School of Social Sciences.
- Avner Greif, 1997. "Self-enforcing Political System and Economic Growth: Late Medieval Genoa," Working Papers 97037, Stanford University, Department of Economics.
When requesting a correction, please mention this item's handle: RePEc:sae:jocore:v:55:y:2011:i:3:p:446-468. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.