Beyond being Good Neighbors: Proximity to International Markets Matter More for India Pakistan Peace

Dawood Mamoon

MPRA Paper from University Library of Munich, Germany

Abstract: The purpose of this paper is to examine whether greater level of international integration, increased development spending and economic growth improve relations between India and Pakistan. The analysis controls for political orientation, defence spending and population for both countries. We investigate the causal links between different measures of bilateral conflict and these variables in a time series framework running between 1950-2005 in most instances. Our results suggest that more international trade, improved budget allocation for development sector and higher growth rates have been the primary determinants of conflict mitigation between India and Pakistan. The export capabilities of both countries are key for the peace process to move forward. We also find that India Pakistan conflict is the cause of high military expenditures and low/stagnant development expenditures in Pakistan over the Last 50 years. Another important finding of the study is that a weak relationship exists between conflict mitigation and relative political orientation of both countries.

Keywords: Inter-state conflict and trade; democracy and conflict; conflict and economic development. (search for similar items in EconPapers)
JEL-codes: F51 F68 (search for similar items in EconPapers)
Date: 2017-12-04
New Economics Papers: this item is included in nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/83098/1/MPRA_paper_83098.pdf original version (application/pdf)

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:pra:mprapa:83098

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().