Globalization and conflicts: the good, the bad, and the ugly of corporations in Africa
Using a novel georeferenced datataset on the affiliates and headquarters of multinational enterprises between 2007 and 2018 together with georeferenced conflict data for the African continent, this work establishes a causal link between the activities of multinational enterprises and violent conflicts: multinationals? activity increases the number of conflicts. This applies particularly to sectors intense in scarce resources, especially land. As farming is the primary source of food and income for Africans, land-intensive activity on the part of the multinationals increases local grievance, escalating to violent actions. These effects are magnified in areas targeted for large-scale land acquisitions.
14 November 2024
The Economic Journal 2024
https://academic.oup.com/ej/advance-article/doi/10.1093/ej/ueae103/7900676
This Journal article is published under the centre's Trade programme.