From Rags to Rifles: Deprivation, Conflict and the Welfare State
Institute for Empirical Research in Economics, University of Zurich, Working Paper No. 463
32 Pages Posted: 19 Feb 2010
Date Written: October 1, 2009
Historical evidence suggests that poor population groups are more likely to engage in conflict. We construct a theoretical model of the choice between appropriation and production. Fully specified production functions allow for both symmetrical outcomes and for introducing inequalities in abilities and endowments. It is examined under what conditions income and capital redistribution, as well as education, health and poverty-alleviation spending reduce the incentives for appropriation. Empirical evidence is presented that is consistent with the theory.
Keywords: Conflict, deprivation, welfare state, poverty, appropriative activities
JEL Classification: D02, D74, H5, I3
Suggested Citation: Suggested Citation