The price of war: A cross-country analysis on the conflict-growth nexus

A. Crippa, d’Agostino, G., J.P. Dunne and L. Pieroni

World Development, 2025, vol. 195, issue C

Abstract: With the growth in conflict around the world, the measurement of the likely economic cost of conflict is an important task in making the case for peacekeeping, peacemaking and post conflict reconstruction to prevent recurrence. Conflict is also a development issue, as most of the conflicts affect the poorest countries and are often civil wars. This paper deals with a number of issues that arise in the literature and presents a comprehensive analysis of the relationship between conflict and economic growth in the present geopolitical environment. Utilizing an extensive cross-country panel dataset and a structural growth model incorporating conflict dynamics, it offers robust estimates of the effects of conflict. It finds that they are higher for low-income countries with direct and spillover effects larger for Asia. It also showed that the spillover effects of conflict do not affect the overall damage on the GDP loss and this result does not change in the post-Cold War period.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0305750X2500172X
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:195:y:2025:i:c:s0305750x2500172x

DOI: 10.1016/j.worlddev.2025.107087

Access Statistics for this article

World Development is currently edited by O. T. Coomes

More articles in World Development from Elsevier
Bibliographic data for series maintained by Catherine Liu ().