IDEAS home Printed from https://ideas.repec.org/p/qld/uq2004/433.html
   My bibliography  Save this paper

Development and large scale violence

Author

Abstract

A single equation model is inadequate to capture the various transmission channels linking civil war to per-capita income. Therefore, this paper uses a system of four equations to estimate the economic cost of civil con‡ ict. In the system, con‡ is allowed ict to a¤ect per-capita income both directly and indirectly through its e¤ect on a set of “deep determinants†of income. Estimates indicate that the income loss associated with con‡ is ict economically sizeable and that slightly less than half of this loss arises from the deterioration of institutions. Eventually, the economy rebounds, recovering about one half of the initial loss.

Suggested Citation

  • Fabrizio Carmignani, 2011. "Development and large scale violence," Discussion Papers Series 433, School of Economics, University of Queensland, Australia.
    • Handle: RePEc:qld:uq2004:433
    as

    Download full text from publisher

    File URL: http://www.uq.edu.au/economics/abstract/433.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. La Porta, Rafael & Lopez-de-Silanes, Florencio & Shleifer, Andrei & Vishny, Robert, 1999. "The Quality of Government," Journal of Law, Economics, and Organization, Oxford University Press, vol. 15(1), pages 222-279, April.
    2. Reuven Glick & Alan M. Taylor, 2010. "Collateral Damage: Trade Disruption and the Economic Impact of War," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 102-127, February.
    3. Siyan Chen & Norman V. Loayza & Marta Reynal-Querol, 2008. "The Aftermath of Civil War," World Bank Economic Review, World Bank Group, vol. 22(1), pages 63-85, February.
    4. Brunnschweiler, Christa N. & Bulte, Erwin H., 2008. "The resource curse revisited and revised: A tale of paradoxes and red herrings," Journal of Environmental Economics and Management, Elsevier, vol. 55(3), pages 248-264, May.
    5. Valerie Cerra & Sweta Chaman Saxena, 2008. "Growth Dynamics: The Myth of Economic Recovery," American Economic Review, American Economic Association, vol. 98(1), pages 439-457, March.
    6. Nathan Nunn, 2008. "The Long-term Effects of Africa's Slave Trades," The Quarterly Journal of Economics, Oxford University Press, vol. 123(1), pages 139-176.
    7. Carmignani, Fabrizio, 2008. "The impact of fiscal policy on private consumption and social outcomes in Europe and the CIS," Journal of Macroeconomics, Elsevier, vol. 30(1), pages 575-598, March.
    8. Paul Collier & Anke Hoeffler & Måns Söderbom, 2006. "Post-conflict risks," CSAE Working Paper Series 2006-12, Centre for the Study of African Economies, University of Oxford.
    9. Edward L. Glaeser & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2004. "Do Institutions Cause Growth?," Journal of Economic Growth, Springer, vol. 9(3), pages 271-303, September.
    10. Kleibergen, Frank & Paap, Richard, 2006. "Generalized reduced rank tests using the singular value decomposition," Journal of Econometrics, Elsevier, vol. 133(1), pages 97-126, July.
    11. 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, April.
    12. Mattias Lundberg & Lyn Squire, 2003. "The simultaneous evolution of growth and inequality," Economic Journal, Royal Economic Society, vol. 113(487), pages 326-344, April.
    13. Fabrizio Carmignani, 2011. "The Making of Pro‐Poor Growth," Scottish Journal of Political Economy, Scottish Economic Society, vol. 58(5), pages 656-684, November.
    14. Stergios Skaperdas, 2011. "The costs of organized violence: a review of the evidence," Economics of Governance, Springer, vol. 12(1), pages 1-23, March.
    15. Jean Imbs, 2004. "Trade, Finance, Specialization, and Synchronization," The Review of Economics and Statistics, MIT Press, vol. 86(3), pages 723-734, August.
    16. repec:cup:apsrev:v:97:y:2003:i:01:p:75-90_00 is not listed on IDEAS
    17. William Easterly & Ross Levine, 1997. "Africa's Growth Tragedy: Policies and Ethnic Divisions," The Quarterly Journal of Economics, Oxford University Press, vol. 112(4), pages 1203-1250.
    18. repec:hrv:faseco:30747160 is not listed on IDEAS
    19. Jeffrey D. Sachs, 2003. "Institutions Don't Rule: Direct Effects of Geography on Per Capita Income," NBER Working Papers 9490, National Bureau of Economic Research, Inc.
    20. Carlos Bozzoli & Tilman Bruck & Simon Sottsas, 2010. "A Survey Of The Global Economic Costs Of Conflict," Defence and Peace Economics, Taylor & Francis Journals, vol. 21(2), pages 165-176.
    21. David H. Romer & Jeffrey A. Frankel, 1999. "Does Trade Cause Growth?," American Economic Review, American Economic Association, vol. 89(3), pages 379-399, June.
    22. Clague, Christopher & Keefer, Philip & Knack, Stephen & Olson, Mancur, 1999. "Contract-Intensive Money: Contract Enforcement, Property Rights, and Economic Performance," Journal of Economic Growth, Springer, vol. 4(2), pages 185-211, June.
    23. Miguel, Edward & Gugerty, Mary Kay, 2005. "Ethnic diversity, social sanctions, and public goods in Kenya," Journal of Public Economics, Elsevier, vol. 89(11-12), pages 2325-2368, December.
    24. Humberto Lopez & Quentin Wodon, 2005. "The Economic Impact of Armed Conflict in Rwanda," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 14(4), pages 586-602, December.
    25. Helen F. Ladd, 1992. "Population Growth, Density and the Costs of Providing Public Services," Urban Studies, Urban Studies Journal Limited, vol. 29(2), pages 273-295, April.
    Full references (including those not matched with items on IDEAS)

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:qld:uq2004:433. 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: (SOE IT) or (Rebekah McClure). General contact details of provider: http://edirc.repec.org/data/decuqau.html .

    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 CitEc recognized a reference but did not link an item in RePEc 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.