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True Cost of War

The Conflict in Eastern Ukraine

Bibliographic Data

ID19312816
AuthorsErhan Artuc (0000-0001-9055-7934, Development Economics Research Group, World Bank, Washington, DC), Nicolas Gomez-Parra (0000-0002-2176-3790, World Bank, Washington, DC), Harun Onder (0000-0002-0491-688X, Texas A&M University, College Station, TX)
Year2026
Pages1-30
Publication date2026-03-24
Open AccessNo
TypeARTICLE
VenueThe Review of Economics and Statistics (JOURNAL)
Journal identifiersISSN: 0034-6535 • E-ISSN: 1530-9142
PublisherMIT Press (PUBLISHER • US)
DOI10.1162/rest.a.1737
OpenAlexW7140183112
LanguageEN

This paper proposes a new method to estimate the welfare impact of conflicts and remedy common data constraints in conflict-affected environments. The method first estimates how agents regard spatial welfare differentials by voting with their feet, using pre-conflict data. Then, it infers a lower-bound estimate for the conflict-driven welfare shock from partially observed post-conflict migration patterns. Results for the conflict in Eastern Ukraine between 2014 and 2019 show a large lower-bound welfare loss for Donetsk residents equivalent to 8–32 percent of lifetime income depending on agents’ time preference and risk aversion parameters

Estimation · Majority rule · Preference · Risk aversion (psychology) · Shock (circulatory) · Voting · Welfare · Economic Policies and Impacts · Experimental Behavioral Economics Studies · Politics, Economics, and Education Policy

Highly citedNo

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