Conflict and Poverty in Afghanistan's Transition

Despite record economic growth for more than a decade, poverty has remained stubbornly high in Afghanistan, especially in the regions that suffered less from conflict. This paper aims to explain this paradox by combining a model of conflict intensi...

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Main Authors: Floreani, Vincent A., Lopez-Acevedo, Gladys, Rama, Martin
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2016
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2016/10/26868027/conflict-poverty-afghanistans-transition
http://hdl.handle.net/10986/25309
id okr-10986-25309
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spelling okr-10986-253092021-04-23T14:04:29Z Conflict and Poverty in Afghanistan's Transition Floreani, Vincent A. Lopez-Acevedo, Gladys Rama, Martin conflict foreign aid poverty living standards conflict intensity household consumption troop presence poverty reduction security Despite record economic growth for more than a decade, poverty has remained stubbornly high in Afghanistan, especially in the regions that suffered less from conflict. This paper aims to explain this paradox by combining a model of conflict intensity at the province level over period 2007-14 with a model of consumption at the household level in 2011. Provincial data show that higher levels of conflict were positively correlated with both a larger presence of troops (international and Afghan) and larger aid flows. Household data show that the negative impact of conflict on consumption was more than offset by the positive impact of aid and troops. According to the estimates, Afghan troops contributed more to poverty reduction than international troops, possibly because they spent more locally. The paper uses the estimated models to conduct an out-of-sample validation exercise, focusing on the transition initiated in 2014. The results should be interpreted with caution, as the quantitative models cannot account for strategic shifts in the insurgency and watershed political developments. But they suggest that the reduction in the number of international troops and declining foreign aid flows led to an increase in conflict intensity and a decline in consumption per capita, matching current trends. 2016-11-01T17:08:19Z 2016-11-01T17:08:19Z 2016-10 Working Paper http://documents.worldbank.org/curated/en/2016/10/26868027/conflict-poverty-afghanistans-transition http://hdl.handle.net/10986/25309 English en_US Policy Research Working Paper;No. 7864 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper South Asia Afghanistan
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic conflict
foreign aid
poverty
living standards
conflict intensity
household consumption
troop presence
poverty reduction
security
spellingShingle conflict
foreign aid
poverty
living standards
conflict intensity
household consumption
troop presence
poverty reduction
security
Floreani, Vincent A.
Lopez-Acevedo, Gladys
Rama, Martin
Conflict and Poverty in Afghanistan's Transition
geographic_facet South Asia
Afghanistan
relation Policy Research Working Paper;No. 7864
description Despite record economic growth for more than a decade, poverty has remained stubbornly high in Afghanistan, especially in the regions that suffered less from conflict. This paper aims to explain this paradox by combining a model of conflict intensity at the province level over period 2007-14 with a model of consumption at the household level in 2011. Provincial data show that higher levels of conflict were positively correlated with both a larger presence of troops (international and Afghan) and larger aid flows. Household data show that the negative impact of conflict on consumption was more than offset by the positive impact of aid and troops. According to the estimates, Afghan troops contributed more to poverty reduction than international troops, possibly because they spent more locally. The paper uses the estimated models to conduct an out-of-sample validation exercise, focusing on the transition initiated in 2014. The results should be interpreted with caution, as the quantitative models cannot account for strategic shifts in the insurgency and watershed political developments. But they suggest that the reduction in the number of international troops and declining foreign aid flows led to an increase in conflict intensity and a decline in consumption per capita, matching current trends.
format Working Paper
author Floreani, Vincent A.
Lopez-Acevedo, Gladys
Rama, Martin
author_facet Floreani, Vincent A.
Lopez-Acevedo, Gladys
Rama, Martin
author_sort Floreani, Vincent A.
title Conflict and Poverty in Afghanistan's Transition
title_short Conflict and Poverty in Afghanistan's Transition
title_full Conflict and Poverty in Afghanistan's Transition
title_fullStr Conflict and Poverty in Afghanistan's Transition
title_full_unstemmed Conflict and Poverty in Afghanistan's Transition
title_sort conflict and poverty in afghanistan's transition
publisher World Bank, Washington, DC
publishDate 2016
url http://documents.worldbank.org/curated/en/2016/10/26868027/conflict-poverty-afghanistans-transition
http://hdl.handle.net/10986/25309
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