Research Magazine 2023

Conflicts and Education Expenditure Aniruddha Bagchi, Xiao Huang, and Benjamin Scafidi

Coles Research Symposium on Homeland Security, Special Issue, SIFALL22-02, October 2022

OVERVIEW

This paper analyzes the impact of terrorism on a country’s education expenditures. Using the dynamic panel data method and data on 93 countries between 1993 and 2011, we find that terrorism has a negative and statistically significant impact on a country’s education expenditures. Previous literature finds that terrorism has a negative effect on investment; our work sheds light on its long-term impact on human capital accumulation and economic growth. The dynamic nature of our model permits us to study the cumulative effect of terrorism on education expenditures, and instrumental variables are used to estimate possible endogeneity

34 | Coles Research Symposium

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