Does inequality lead to conflict?

Arbeitspapier

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

Object Details

• ISBN: 9291907154
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WIDER Research Paper ; No. 2005/34

Classification and Topics

• Classification: Wirtschaft ; Bargaining Theory; Matching Theory ; Personal Income, Wealth, and Their Distributions ; Conflict; Conflict Resolution; Alliances; Revolutions ; Micro-Based Behavioral Economics: General‡
• Subject: Sozialer Konflikt ; Einkommensverteilung ; Theorie

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Dutta, Indranil ; Mishra, Ajit
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2005

Further information

• Handle: http://hdl.handle.net/10419/63335
• Last update: 10.03.2025, 11:42 AM CET