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| Title: | | Does inequality lead to conflict?  |
| Authors: | | Dutta, Indranil Mishra, Ajit |
| Issue Date: | | 2005 |
| Series/Report no.: | | Research Paper, UNU-WIDER, United Nations University (UNU) 2005/34 |
| Abstract: | | This paper presents a simple model to show how distributional concerns can engender social conflict. We have a two period model, where the cost of conflict is endogenous in the sense that parties involved have full control over how much conflict they can create. We find that anticipated future inequality plays a crucial role in determining the level of conflict in the current period. The model also provides an explanation for why similar levels of inequality may exhibit drastically different levels of conflict. Further, we argue that the link between inequality and conflict may be non-monotonic. – conflict ; wealth inequality ; Nash bargaining |
| JEL: | | C78 D31 D74 D90 |
| ISBN: | | 9291907154 |
| Document Type: | | Working Paper |
| Appears in Collections: | | WIDER Research Papers, United Nations University (UNU)
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