TY - JOUR
T1 - The Economic Cost of Violent Conflicts
T2 - The Case of the Maluku Province in Indonesia
AU - Rao, Maheshwar
AU - Vidyattama, Yogi
PY - 2017
Y1 - 2017
N2 - Against the background of the socio-economic and political crises of 1998–2000 in Indonesia, one of its provinces, Maluku, endured its own internal conflicts between 1999 and 2004. The coincidence of these national and regional crises—the tumult affecting Indonesia as a whole and the conflict restricted to Maluku—make the impact of local conflict on Maluku’s economy hard to identify empirically. To solve this problem, we use a synthetic control method (SCM) to construct a synthetic control unit for Maluku based on other Indonesian provinces. Our findings support the view that the violence in Maluku between 1999 and 2004 shifted the regional economy onto a lower growth path.
AB - Against the background of the socio-economic and political crises of 1998–2000 in Indonesia, one of its provinces, Maluku, endured its own internal conflicts between 1999 and 2004. The coincidence of these national and regional crises—the tumult affecting Indonesia as a whole and the conflict restricted to Maluku—make the impact of local conflict on Maluku’s economy hard to identify empirically. To solve this problem, we use a synthetic control method (SCM) to construct a synthetic control unit for Maluku based on other Indonesian provinces. Our findings support the view that the violence in Maluku between 1999 and 2004 shifted the regional economy onto a lower growth path.
KW - conflict
KW - decentralisation
KW - synthetic control method
UR - http://www.scopus.com/inward/record.url?scp=85042164696&partnerID=8YFLogxK
U2 - 10.1080/00074918.2017.1298720
DO - 10.1080/00074918.2017.1298720
M3 - Article
SN - 0007-4918
VL - 53
SP - 281
EP - 308
JO - Bulletin of Indonesian Economic Studies
JF - Bulletin of Indonesian Economic Studies
IS - 3
ER -
