This paper examines how firms in an emerging economy are affected by violence due to drug trafficking. Employing rich longitudinal plant-level data covering all of Mexico from 2005–2010, and using an instrumental variable strategy that exploits plausibly exogenous spatiotemporal variation in...

We show that the War on Drugs launched by the Mexican President Felipe Calderón in 2007 pushed drug cartels into large-scale oil thefts. Municipalities that the presidential candidate’s party barely won at the local elections in 2007-2009 exhibit a larger increase in illegal oil taps over the...

This paper is about the irregular war in Rio de Janeiro regarding its rules and dynamics, its links with local politics and transnational business, as well as the actors' subjective meanings, part of the ethnographic data gathered over years. My approach has been to interact with many actors...

Mexico has experienced a dramatic increase in violence during the last decade. This increase has been associated with turf wars among Drug Trafficking Organisations (DTOs) for the control of strategic territories. This paper examines whether these territorial disputes are higher during the lame...

For decades, illicit economies have predominantly been studied and debated as a security problem with social and development consequences. However, the interaction between illicit economies and the environment, in cases such as illicit drug crop cultivation and drugs production, is more recent...

Violence in Mexico has reached unprecedented levels in recent times. After the government began a crackdown on drug cartels, nation-wide homicides almost tripled between 2006 and 2010. Using rich longitudinal plant-level data, this paper studies the impact of violent conflict on firms,...