The Impact of Armed Conflict on Economic Performance: Evidence from Rwanda

41 Pages Posted: 28 Jul 2012

See all articles by Pieter M. Serneels

Pieter M. Serneels

University of Oxford - Centre for the Study of African Economies (CSAE)

Marijke Verpoorten

University of Antwerp - Institute of Development Policy and Management; Katholieke Universiteit Leuven - Center for Economic Studies

Abstract

Important gaps remain in the understanding of the economic consequences of civil war. Focusing on the conflict in Rwanda in the early 90s, and using micro data to carry out econometric analysis, this paper finds that households and localities that experienced more intense conflict are lagging behind in terms of consumption six years after the conflict, a finding that is robust to taking into account the endogeneity of violence. Significantly different returns to land and labour are observed between zones that experienced low and high intensity conflict which is consistent with on-going recovery. Distinguishing between civil war and genocide, the findings also provide evidence that these returns, and by implication the process of recovery, depend on the form of violence.

Keywords: civil war, economic growth, Rwanda, human capital, genocide

JEL Classification: O0, E2, O5

Suggested Citation

Serneels, Pieter M. and Verpoorten, Marijke, The Impact of Armed Conflict on Economic Performance: Evidence from Rwanda. IZA Discussion Paper No. 6737. Available at SSRN: https://ssrn.com/abstract=2119044

Pieter M. Serneels (Contact Author)

University of Oxford - Centre for the Study of African Economies (CSAE) ( email )

Oxford OX1 3UL
United Kingdom

Marijke Verpoorten

University of Antwerp - Institute of Development Policy and Management ( email )

City campus building S
Lange Sint Annastraat 7
Antwerp, 2000
Belgium

Katholieke Universiteit Leuven - Center for Economic Studies ( email )

Naamsestraat 69
Leuven, B-3000
Belgium

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