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Evaluating the Spillover Effects of the Plan Colombia in Ecuador

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  • José Fernández
  • Matteo Pazzona

Abstract

The implementation of the Plan Colombia is thought to have had significant violence-related spillovers in Ecuador's bordering provinces with Colombia. We investigate whether the Plan Colombia lead to an increase in violence, measured by homicide rates, in such provinces. Using a difference in difference approach we do not find any evidence of a crime-increasing effect. As a next step, we evaluate the impact of migration on the level of homicides in Ecuador. The instrumental variable results, based on the intensity of the Plan Colombia, show a significant, although small, crime-reducing effect.

Suggested Citation

  • José Fernández & Matteo Pazzona, 2015. "Evaluating the Spillover Effects of the Plan Colombia in Ecuador," Bristol Economics Discussion Papers 15/667, School of Economics, University of Bristol, UK.
    • Handle: RePEc:bri:uobdis:15/667
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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