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Paradise Lost: The Costs of State Failure in the Pacific

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  • Lisa Chauvet
  • Paul Collier
  • Anke Hoeffler

Abstract

Globally, state failure is hugely costly, in terms of lost output and the high costs imposed by failing states on their neighbours. This paper examines the cost of failing states in the Pacific. The Pacific region differs from other regions: since its countries are islands the neighbourhood spillovers that normally generate these costs do not apply. The cost of state failure for an island is much lower than for other states, but state failure is more costly to the state itself, as opposed to its neighbours, if the state is an island. This may be due to the greater openness of islands, implying greater flight of financial and human capital. Because neighbours are not directly affected by state failure in the Pacific, any possible interventions should be centred on the humanitarian concern.

Suggested Citation

  • Lisa Chauvet & Paul Collier & Anke Hoeffler, 2010. "Paradise Lost: The Costs of State Failure in the Pacific," Journal of Development Studies, Taylor & Francis Journals, vol. 46(5), pages 961-980.
    • Handle: RePEc:taf:jdevst:v:46:y:2010:i:5:p:961-980
    DOI: 10.1080/00220381003623871
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    1. Lisa Chauvet & Paul Collier, 2008. "What are the Preconditions for Turnarounds in Failing States?," Conflict Management and Peace Science, Peace Science Society (International), vol. 25(4), pages 332-348, September.
    2. Lisa Chauvet & Paul Collier & Anke Hoeffler, 2007. "The Cost of Failing States and the Limits to Sovereignty," WIDER Working Paper Series RP2007-30, World Institute for Development Economic Research (UNU-WIDER).
    3. Mats Lundahl & Fredrik Sjöholm, 2009. "Population growth and job creation in Timor-Leste," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 14(1), pages 90-104.
    4. Simon Feeny, 2007. "Impacts of Foreign Aid to Melanesia," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 12(1), pages 34-60.
    5. Helen Ware, 2005. "Demography, Migration and Conflict in the Pacific," Journal of Peace Research, Peace Research Institute Oslo, vol. 42(4), pages 435-454, July.
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    Cited by:

    1. Don J. Webber & Stephanié Rossouw, 2010. "Sub-national vulnerability measures:A spatial perspective," Working Papers 1004, Department of Accounting, Economics and Finance, Bristol Business School, University of the West of England, Bristol.
    2. Chuku Chuku & Onye Kenneth, 2019. "Working Paper 307 - The Macroeconomics of State Fragility in Africa," Working Paper Series 2433, African Development Bank.
    3. Stephanié Rossouw & Don J. Webber, 2012. "Sub-national vulnerability and relative location: A case study of South Africa," Working Papers 2012-01, Auckland University of Technology, Department of Economics.
    4. Lisa Chauvet & Paul Collier, 2008. "Aid and Reform in Failing States," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 22(1), pages 15-24, May.

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