Predicting Conflict

This paper studies the performance of alternative prediction models for conflict. The analysis contrasts the performance of conventional approaches based on predicted probabilities generated by binary response regressions and random forests with tw...

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Main Authors: Celiku, Bledi, Kraay, Aart
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/619721495821941125/Predicting-conflict
http://hdl.handle.net/10986/26847
id okr-10986-26847
recordtype oai_dc
spelling okr-10986-268472021-06-08T14:42:46Z Predicting Conflict Celiku, Bledi Kraay, Aart CONFLICT FORECASTING FRAGILE STATES This paper studies the performance of alternative prediction models for conflict. The analysis contrasts the performance of conventional approaches based on predicted probabilities generated by binary response regressions and random forests with two unconventional classification algorithms. The unconventional algorithms are calibrated specifically to minimize a prediction loss function penalizing Type 1 and Type 2 errors: (1) an algorithm that selects linear combinations of correlates of conflict to minimize the prediction loss function, and (2) an algorithm that chooses a set of thresholds for the same variables, together with the number of breaches of thresholds that constitute a prediction of conflict, that minimize the prediction loss function. The paper evaluates the predictive power of these approaches in a set of conflict and non-conflict episodes constructed from a large country-year panel of developing countries since 1977, and finds substantial differences in the in-sample and out-of-sample predictive performance of these alternative algorithms. The threshold classifier has the best overall predictive performance, and moreover has advantages in simplicity and transparency that make it well suited for policy-making purposes. The paper explores the implications of these findings for the World Bank's classification of fragile and conflict-affected states. 2017-06-02T17:25:21Z 2017-06-02T17:25:21Z 2017-05 Working Paper http://documents.worldbank.org/curated/en/619721495821941125/Predicting-conflict http://hdl.handle.net/10986/26847 English en_US Policy Research Working Paper;No. 8075 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
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
FORECASTING
FRAGILE STATES
spellingShingle CONFLICT
FORECASTING
FRAGILE STATES
Celiku, Bledi
Kraay, Aart
Predicting Conflict
relation Policy Research Working Paper;No. 8075
description This paper studies the performance of alternative prediction models for conflict. The analysis contrasts the performance of conventional approaches based on predicted probabilities generated by binary response regressions and random forests with two unconventional classification algorithms. The unconventional algorithms are calibrated specifically to minimize a prediction loss function penalizing Type 1 and Type 2 errors: (1) an algorithm that selects linear combinations of correlates of conflict to minimize the prediction loss function, and (2) an algorithm that chooses a set of thresholds for the same variables, together with the number of breaches of thresholds that constitute a prediction of conflict, that minimize the prediction loss function. The paper evaluates the predictive power of these approaches in a set of conflict and non-conflict episodes constructed from a large country-year panel of developing countries since 1977, and finds substantial differences in the in-sample and out-of-sample predictive performance of these alternative algorithms. The threshold classifier has the best overall predictive performance, and moreover has advantages in simplicity and transparency that make it well suited for policy-making purposes. The paper explores the implications of these findings for the World Bank's classification of fragile and conflict-affected states.
format Working Paper
author Celiku, Bledi
Kraay, Aart
author_facet Celiku, Bledi
Kraay, Aart
author_sort Celiku, Bledi
title Predicting Conflict
title_short Predicting Conflict
title_full Predicting Conflict
title_fullStr Predicting Conflict
title_full_unstemmed Predicting Conflict
title_sort predicting conflict
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/619721495821941125/Predicting-conflict
http://hdl.handle.net/10986/26847
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