Institutions, information, and commitment: the role of democracy in conflict

James Bang and Aniruddha Mitra

Defence and Peace Economics, 2017, vol. 28, issue 2, 165-187

Abstract: This paper explores the hypothesis that both the preexisting quality of democracy in a polity at the onset of conflict and the quality of democracy expected to emerge in the aftermath influence the likelihood of civil war. An empirical investigation of the hypothesis presents a challenge due to concerns of endogeneity and selection: the post-conflict level of democracy is endogenous to the pre-conflict level. Further, for a given time period, either a number of countries have not experienced civil war; or if they did, did not resolve the conflict. We overcome this selection bias by implementing a three-step extension to the Heckman procedure using an unbalanced cross-country panel of 77 countries over the period 1971–2005. Consistent with our hypothesis, we find that a standard deviation improvement in the existing level of democracy reduces the probability of civil war by approximately 9 percentage points and a corresponding improvement in expected post-conflict democratization increases the probability of conflict by approximately 48 percentage points.

Date: 2017
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DOI: 10.1080/10242694.2016.1142745

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