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The impact of food prices on conflict revisited

Jasmien De Winne (UGent) and Gert Peersman (UGent)
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Abstract
Studies that examine the impact of food prices on conflict usually assume that (all) changes in international food prices are exogenous shocks for individual countries or local areas. By isolating strictly exogenous shifts in global food commodity prices, we show that this assumption could seriously distort estimations of the impact on conflict in African regions. Specifically, we show that increases in food prices that are caused by harvest shocks outside Africa raise conflict significantly, whereas a "naive" regression of conflict on international food prices uncovers an inverse relationship. We also find that higher food prices lead to more conflict in regions with more agricultural production. Again, we document that failing to account for exogenous price changes exhibits a considerable bias in the impact. In addition, we show that the conventional approach to evaluate such effects; that is, estimations that include time fixed effects, ignores an important positive baseline effect that is common for all regions. for this article are available online.
Keywords
Statistics, Probability and Uncertainty, Economics and Econometrics, Statistics and Probability, Social Sciences (miscellaneous)

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MLA
De Winne, Jasmien, and Gert Peersman. “The Impact of Food Prices on Conflict Revisited.” JOURNAL OF BUSINESS & ECONOMIC STATISTICS, vol. 39, no. 2, 2021, pp. 547–60, doi:10.1080/07350015.2019.1684301.
APA
De Winne, J., & Peersman, G. (2021). The impact of food prices on conflict revisited. JOURNAL OF BUSINESS & ECONOMIC STATISTICS, 39(2), 547–560. https://doi.org/10.1080/07350015.2019.1684301
Chicago author-date
De Winne, Jasmien, and Gert Peersman. 2021. “The Impact of Food Prices on Conflict Revisited.” JOURNAL OF BUSINESS & ECONOMIC STATISTICS 39 (2): 547–60. https://doi.org/10.1080/07350015.2019.1684301.
Chicago author-date (all authors)
De Winne, Jasmien, and Gert Peersman. 2021. “The Impact of Food Prices on Conflict Revisited.” JOURNAL OF BUSINESS & ECONOMIC STATISTICS 39 (2): 547–560. doi:10.1080/07350015.2019.1684301.
Vancouver
1.
De Winne J, Peersman G. The impact of food prices on conflict revisited. JOURNAL OF BUSINESS & ECONOMIC STATISTICS. 2021;39(2):547–60.
IEEE
[1]
J. De Winne and G. Peersman, “The impact of food prices on conflict revisited,” JOURNAL OF BUSINESS & ECONOMIC STATISTICS, vol. 39, no. 2, pp. 547–560, 2021.
@article{8648829,
  abstract     = {{Studies that examine the impact of food prices on conflict usually assume that (all) changes in international food prices are exogenous shocks for individual countries or local areas. By isolating strictly exogenous shifts in global food commodity prices, we show that this assumption could seriously distort estimations of the impact on conflict in African regions. Specifically, we show that increases in food prices that are caused by harvest shocks outside Africa raise conflict significantly, whereas a "naive" regression of conflict on international food prices uncovers an inverse relationship. We also find that higher food prices lead to more conflict in regions with more agricultural production. Again, we document that failing to account for exogenous price changes exhibits a considerable bias in the impact. In addition, we show that the conventional approach to evaluate such effects; that is, estimations that include time fixed effects, ignores an important positive baseline effect that is common for all regions. for this article are available online.}},
  author       = {{De Winne, Jasmien and Peersman, Gert}},
  issn         = {{0735-0015}},
  journal      = {{JOURNAL OF BUSINESS & ECONOMIC STATISTICS}},
  keywords     = {{Statistics,Probability and Uncertainty,Economics and Econometrics,Statistics and Probability,Social Sciences (miscellaneous)}},
  language     = {{eng}},
  number       = {{2}},
  pages        = {{547--560}},
  title        = {{The impact of food prices on conflict revisited}},
  url          = {{http://doi.org/10.1080/07350015.2019.1684301}},
  volume       = {{39}},
  year         = {{2021}},
}

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