We study the effect of conflict on firms’ economic performance and explore the underlying mechanisms. Combining an original panel dataset of Libyan firms with geolocalized data on conflict events, we build a firm-specific measure of conflict exposure and use its within-firm variation to show...

We study the effect of conflict on firms’ economic performance and explore the underlying mechanisms. Combining an original retrospective panel dataset of Libyan firms with geolocalized data on conflict events, we build a firm-specific measure of conflict exposure and use its within-firm...

The paper augments Holmstrom’s (1982) team production model in the context of aid effectiveness. The analysis shows how donor proliferation leads to inefficient supply of aid in the recipient country because of the free-riding problem faced by the donors. The empirical findings support the...