Development After Conflict: Elite Capture and Accountability

Abstract:

Why do some societies recover from armed conflict much better than others? This paper provides evidence on the importance of checks and balances on political elites in the post-conflict recovery process. We study Cambodia, where landmine clearance after the end of decades of armed conflict promised broad-based economic gains. However, even though landmine clearance was successful in reducing victimization and freeing up productive lands, we find highly heterogeneous effects on economic outcomes and few gains on average. Using granular variation and a staggered difference-in-differences strategy, we document large-scale elite capture and new conflict in areas with weak existing demand for constraints on elites. In contrast, areas with strong existing demand for constraints see little capture and large economic gains. Our evidence suggests that democratic accountability of political elites is crucial for post-conflict recovery.

Jonathan Norris, (Daniel Borbely (QM Belfast), Mathias Buhler (LMU), Joris Mueller (NUS)), University of Strathclyde