Ethnic Conflict and Economic Disparity: Serbians and Albanians in Kosovo

Sumon K. Bhaumik (), Ira Gang () and Myeong-Su Yun ()

Departmental Working Papers from Rutgers University, Department of Economics

Abstract: Using the Living Standards Measurement Study (LSMS) household survey from post-conflict Kosovo we investigate the comparative economic well-being of Serbs and Albanians. An Oaxaca decomposition shows Serb households are both better endowed with income generating characteristics, such as education, and receive higher returns to these characteristics than Albanian households. Despite these advantages, Serb households have lower living standards, on average, than Albanian households. Most of the difference in living standards between Serb and Albanian households is on account of unobserved non-economic factors. This has serious implications for the political economy of policymaking in post-conflict Kosovo.

Keywords: poverty; ethnicity; transition; consumption (search for similar items in EconPapers)
JEL-codes: I32 O12 J15 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cwa and nep-tra
Date: 2006-12-01
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Related works:
Working Paper: Ethnic Conflict and Economic Disparity: Serbians and Albanians in Kosovo (2005)
Journal Article: Ethnic conflict and economic disparity: Serbians and Albanians in Kosovo (2006)
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Persistent link: http://EconPapers.repec.org/RePEc:rut:rutres:200636

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