Ly Slesman, Alison Kole, Rizgar Abdlkarim Abdlaziz, I. Raheem
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Taming the Tides of Internal Conflicts in Sub-Saharan Africa: The Role of Political Institutions and Natural Resources
This article examines the interaction effects of resource rents and political institutions on internal conflicts in a panel of 29 Sub-Sahara African countries from 1983 to 2018. Relying on the system generalized method of moments (SGMM) estimator that controls for instrument proliferation, we find robust evidence of the adverse interaction effects between resource rents and political institutions on internal conflicts. Comprehensive marginal effect analysis on both variables reveals the following significant findings. First, there is a (broad) U-shaped marginal effect of resource rents and political institutions. Second, when each component of resource rents was analyzed, only oil and mineral rents had a negative and statistically significant interaction effect with political institutions on internal conflicts. The U-shaped marginal effects hold only for oil rents (but become narrower), while mineral rents exhibit only an L-shaped marginal effect at low levels of political institutions. Our findings are robust to a broad set of alternative measures of political institutions and alternative specifications of the interaction term.
期刊介绍:
Global Journal of Emerging Market Economies is a peer-reviewed journal. The aim of the journal is to provide an international platform for knowledge sharing, discussion and networking on the various aspects related to emerging market economies through publications of original research. It aims to make available basic reference material for policy-makers, business executives and researchers interested in issues of fundamental importance to the economic prospects and performance of emerging market economies. The topics for discussion are related to the following general categories: D. Microeconomics E. Macroeconomics and Monetary Economics F. International Economics G. Financial Economics H. Public Economics I. Health, Education, and Welfare J. Labor and Demographic Economics L. Industrial Organization O. Economic Development, Innovation, Technological Change, and Growth Q. Agricultural and Natural Resource Economics • Environmental and Ecological Economics R. Urban, Rural, Regional, Real Estate, and Transportation Economics Additionally, the journal would be most interested to publish topics related to Global Financial Crisis and the Impact on Emerging Market Economies Economic Development and Inclusive Growth Climate Change and Energy Infrastructure Development and Public Private Partnerships Capital Flows to and from Emerging Market Economies Regional Cooperation Trade and Investment and Development of National and Regional Financial Markets The Belt and Road Initiative.