Abstract
This study uses a controlled laboratory experiment to analyze the effects of conflict on economic growth and development. Participants were given control of a small, virtual civilization and provided incentives to develop their civilization under various conflict scenarios. The findings suggest that conflict has a negative effect on economic growth (30.40 percent less wealth creation in treatment group). The shadow of conflict is enough to strongly distort resource allocation (36.6 percent less economic investment by participants under the shadow of conflict), causing less economic growth under the shadow of conflict (30.51 percent less wealth accumulation by participants under the shadow of conflict).
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
