The past decade has witnessed a surge in private, volunteer activity across the globe, generating an optimistic belief in the potential of "civil society" in "filling" the niches where both the state and markets have failed. While this has stirred a burgeoning academic interest in the third...

We exploit a unique dataset of country-specific military expenditures and construct a proxy for international instability, measured as the growth of the global military expenditure to GDP ratio, to capture political tensions and international conflicts. Using the market indices of 44 countries,...