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Consumption Growth, Household Splits and Civil War

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  • Philip Verwimp
  • Tom Bundervoet

Abstract

We analyse the effect of civil war on household welfare. Using Burundian panel data for the 1998-2007 period in which we re-interviewed original as well as newly formed households (split-offs), we show that headcount poverty decreased by 3.5 % points when split-off households are taken into account and 1% when splits are left out. Poverty is persistent while prosperity is not, in particular in war-affected areas. We find that 25 war-related deaths or wounded at the village level reduce consumption growth by 13%. We also find that violence afflicted on household members decreases growth whereas membership of rebel groups increases it. Apart from such war-related effects - and controlling for initial levels of consumption - we find that temporarily famine-induced migration and illness decrease growth while good harvests, more split-offs and higher initial levels of education increase it. Good harvests are found to have persistent positive effects on growth. Our results are robust for different household and province fixed effects specifications.

Suggested Citation

  • Philip Verwimp & Tom Bundervoet, 2008. "Consumption Growth, Household Splits and Civil War," Working Papers ECARES 2008_023, ULB -- Universite Libre de Bruxelles.
    • Handle: RePEc:eca:wpaper:2008_023
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    Cited by:

    1. Catherine rodríguez & fabio sánchez, 2012. "Armed Conflict Exposure, Human Capital Investments, And Child Labor: Evidence From Colombia," Defence and Peace Economics, Taylor & Francis Journals, vol. 23(2), pages 161-184, April.
    2. Patricia Justino & Marinella Leone & Paola Salardi, 2011. "Education and Conflict Recovery: The Case of Timor Leste," HiCN Working Papers 100, Households in Conflict Network.
    3. Adriana Camacho & Catherine Rodriguez, 2013. "Firm Exit and Armed Conflict in Colombia," Journal of Conflict Resolution, Peace Science Society (International), vol. 57(1), pages 89-116, February.
    4. Nillesen, Eleonora & Verwim, Philip, 2010. "A Phoenix in Flames? Portfolio Choice and Violence in Civil War in Rural Burundi," WIDER Working Paper Series 044, World Institute for Development Economic Research (UNU-WIDER).
    5. Maarten J. Voors & Erwin H. Bulte, 2008. "Unbundling Institutions at the Local Level: Conflict, Institutions and Income in Burundi," HiCN Working Papers 49, Households in Conflict Network.

    More about this item

    Keywords

    consumption; growth; split-off households; civil war; panel data; Africa;

    JEL classification:

    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • N47 - Economic History - - Government, War, Law, International Relations, and Regulation - - - Africa; Oceania

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