India-Pakistan War: How Painful and How Costly?
15 Pages Posted: 19 Mar 2019
Date Written: February 27, 2019
This paper intends to establish conceptual foundations of analyzing the economic dimensions of warfare. The main objective of this research paper is to evaluate the final impact of a war between India and Pakistan under the application of the Post-War Final Economic Damage Simulator (PFEDS). The PFEDS attempts to estimate the heterogeneous macroeconomic effects of a potential military conflict. The simulator suggests nine different indicators: (i) the territorial dispute tension, ∆T; (ii) the territorial dispute strategy, Sn; (iii) warfare dimension, Ak; (iv) warfare losses, -π, (v) warfare economic leaking, -Ψ, (vi) warfare economic desgrowth, -δw; (vii) the post-war economic damage, -Π; (viii) the post-war reconstruction plan, Rt; (ix) and the Mega-Disk Networks Analysis. The simulator investigates the territorial dispute between India and Pakistan (1946-2019) about Kashmir.
Keywords: India, Pakistan, war, economic modeling, economic desgrowth
JEL Classification: R11, R12
Suggested Citation: Suggested Citation