Social Composition, Social Conflict, and Economic Development
نویسنده
چکیده
This paper investigates how people subdivided in social groups behave in an economy without property rights. Facing a linear production technology groups follow Markovian strategies for consumption and investment. Additionally, they may spend effort in an appropriation contest. For a symmetric society I show that conflict prevents investment and growth. In a society at peace economic growth may occur. Growth, however, is decreasing in the degree of social fractionalization and smaller than it could be under secure property rights. In an economy populated by social groups of unequal size an asymmetric equilibrium exists. A large majority may behave peacefully although continuously challenged by a predatory minority. In that case the economy either stagnates or grows at a low rate. Growth is decreasing in the size of the predatory minority and its conflict intensity.
منابع مشابه
Conflict and Development
In this review, we examine the links between economic development and social conflict. By economic development, we refer broadly to aggregate changes in per capita income and wealth or in the distribution of that wealth. By social conflict, we refer to within-country unrest, ranging from peaceful demonstrations, processions, and strikes to violent riots and civil war. We organize our review by ...
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Depleted human and social capital, displacement of people, destruction of property, weakened institutions and ruined economy are some of the legacies of conflicts. Within this context, post conflict reconstruction contributes to overcome the legacies of conflict through reactivating the development process that has been disrupted by the conflict. Among the post conflict reconstruction intervent...
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