Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India

Most studies of Hindu-Muslim riots in India have tended to emphasize the effects of social, cultural, or political factors on the occurrence of ethnic violence. In this article, the authors focus on the relationship between economic conditions and riots. Specifically, this article examines the effec...

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Main Authors: Bohlken, Anjali Thomas, Sergenti, Ernest John
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5432
id okr-10986-5432
recordtype oai_dc
spelling okr-10986-54322021-04-23T14:02:22Z Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India Bohlken, Anjali Thomas Sergenti, Ernest John Conflict Conflict Resolution Alliances D740 Economics of Minorities and Races Non-labor Discrimination J150 Economic Development: Human Resources Human Development Income Distribution Migration O150 Formal and Informal Sectors Shadow Economy Institutional Arrangements O170 Economic Sociology Economic Anthropology Social and Economic Stratification Z130 Most studies of Hindu-Muslim riots in India have tended to emphasize the effects of social, cultural, or political factors on the occurrence of ethnic violence. In this article, the authors focus on the relationship between economic conditions and riots. Specifically, this article examines the effect of economic growth on the outbreak of Hindu-Muslim riots in 15 Indian states between 1982 and 1995. Controlling for other factors, the authors find that just a 1% increase in the growth rate decreases the expected number of riots by over 5%. While short-term changes in growth influence the occurrence of riots, this study finds no evidence of a relationship between the levels of wealth in a state and the incidence of ethnic riots. Moreover, by including state fixed effects, the authors determine that the negative relationship found between economic growth and riots is driven primarily by the relationship between growth and riots within a state over time rather than across states. These results are robust to controlling for a number of other factors such as economic inequality, demographic variables, political competition, temporal lags, spillover effects from adjacent states, and year effects. Finally, to address potential concerns that economic growth could be a consequence rather than a cause of violence or that other unobserved factors could confound the relationship between economic growth and the occurrence of Hindu-Muslim riots, the authors also employ instrumental variables (IV) estimation, using percentage change in rainfall as an instrument for growth. The results with IV estimation are similar to the results with non-IV estimation in terms of sign and significance, indicating that the negative effect of economic growth on riots is not due to reverse causality or omitted variables bias. 2012-03-30T07:32:48Z 2012-03-30T07:32:48Z 2010 Journal Article Journal of Peace Research 00223433 http://hdl.handle.net/10986/5432 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article India
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
topic Conflict
Conflict Resolution
Alliances D740
Economics of Minorities and Races
Non-labor Discrimination J150
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Formal and Informal Sectors
Shadow Economy
Institutional Arrangements O170
Economic Sociology
Economic Anthropology
Social and Economic Stratification Z130
spellingShingle Conflict
Conflict Resolution
Alliances D740
Economics of Minorities and Races
Non-labor Discrimination J150
Economic Development: Human Resources
Human Development
Income Distribution
Migration O150
Formal and Informal Sectors
Shadow Economy
Institutional Arrangements O170
Economic Sociology
Economic Anthropology
Social and Economic Stratification Z130
Bohlken, Anjali Thomas
Sergenti, Ernest John
Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
geographic_facet India
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description Most studies of Hindu-Muslim riots in India have tended to emphasize the effects of social, cultural, or political factors on the occurrence of ethnic violence. In this article, the authors focus on the relationship between economic conditions and riots. Specifically, this article examines the effect of economic growth on the outbreak of Hindu-Muslim riots in 15 Indian states between 1982 and 1995. Controlling for other factors, the authors find that just a 1% increase in the growth rate decreases the expected number of riots by over 5%. While short-term changes in growth influence the occurrence of riots, this study finds no evidence of a relationship between the levels of wealth in a state and the incidence of ethnic riots. Moreover, by including state fixed effects, the authors determine that the negative relationship found between economic growth and riots is driven primarily by the relationship between growth and riots within a state over time rather than across states. These results are robust to controlling for a number of other factors such as economic inequality, demographic variables, political competition, temporal lags, spillover effects from adjacent states, and year effects. Finally, to address potential concerns that economic growth could be a consequence rather than a cause of violence or that other unobserved factors could confound the relationship between economic growth and the occurrence of Hindu-Muslim riots, the authors also employ instrumental variables (IV) estimation, using percentage change in rainfall as an instrument for growth. The results with IV estimation are similar to the results with non-IV estimation in terms of sign and significance, indicating that the negative effect of economic growth on riots is not due to reverse causality or omitted variables bias.
format Journal Article
author Bohlken, Anjali Thomas
Sergenti, Ernest John
author_facet Bohlken, Anjali Thomas
Sergenti, Ernest John
author_sort Bohlken, Anjali Thomas
title Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
title_short Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
title_full Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
title_fullStr Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
title_full_unstemmed Economic Growth and Ethnic Violence : An Empirical Investigation of Hindu-Muslim Riots in India
title_sort economic growth and ethnic violence : an empirical investigation of hindu-muslim riots in india
publishDate 2012
url http://hdl.handle.net/10986/5432
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