The Impact of Armed Conflict War On Economic Growth: Lessons From 20 Countries Around The World

Armed conflicts or wars (interstate and intrastate) have proved to have severe and devastating consequences on the economics of different countries around the world who were involved in such conflicts or wars. The major purpose of this study is to assess the impact of such conflicts or wars on the growth rate of GDP per capita of countries. We used an OLS, cross-sectional, regression model with STAT software covering 20 countries for the period 1990-2015. The findings of the study indicated a negative correlation between armed conflicts or wars and the growth rate of GDP per capita. The findings also indicated a positive causal relationship between each of the armed conflicts, the initial growth rate of GDP per capita, investment as a ratio of GDP, and the growth rate of GDP per capita. The findings further indicated a negative relationship between each population growth rate and school enrolment ratio with the growth rate of GDP per capita.