Working Papers from Brown University, Department of Economics
Abstract:
Both common sense and historical examples suggest that resource scarcity causes appro- priative con ict as people struggle with each other to avoid hunger and starvation. But, economic intuition, also supported by historical examples, suggests that resource abundance, by giving people more to ght over, causes appropriative con ict. This paper resolves this apparent paradox by showing that these two hypotheses are not inconsistent. By explicitly incorporating into our theory both the intensity of the urge to survive and the allocation of time and effort to leisure activities, we are able to formalize both of these hypotheses within the same model.
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