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Economic Growth and Recovery After Civil Wars

Author

Listed:
  • Gil-Alana Luis A.

    (Faculty of Economics and ICS, University of Navarra, Pamplona, Spain)

  • Singh Prakarsh

    (Amherst College, Department of Economics, USA)

Abstract

Using a fractional integration approach, we find that developing countries recover their economic growth faster than developed countries in response to a shock. The main finding is that longer civil conflicts are associated with a faster recovery process. To investigate deeper on this issue, we explore correlations with components of GDP. Higher government spending is correlated with faster recoveries post longer conflicts and higher consumption and investment are linked to faster recoveries following shorter conflicts.

Suggested Citation

  • Gil-Alana Luis A. & Singh Prakarsh, 2014. "Economic Growth and Recovery After Civil Wars," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 20(4), pages 565-574, December.
    • Handle: RePEc:bpj:pepspp:v:20:y:2014:i:4:p:10:n:2
    DOI: 10.1515/peps-2014-0023
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    References listed on IDEAS

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    More about this item

    Keywords

    Economic growth recovery; civil wars; time series;
    All these keywords.

    JEL classification:

    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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