Michele di Maio on firms amid conflict: performance, production inputs, and market competition

Michele di Maio joins the WIDER Seminar Series on 23 March.

Abstract

In this event Michele di Maio presents results of a study on the effect of conflict on firms’ economic performance and explores 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 that the relationship between conflict exposure and performance is convex. This is the result of two opposite mechanisms. Revenues decrease because of the conflict-induced lower availability of production inputs. At the same time, revenues tend to increase for surviving firms that face weaker market competition because of the conflict-induced reduction in the number of competitors.

About the speaker

Michele Di Maio is Full Professor of Economics at Sapienza University of Rome (Italy). He studies the impact of conflict on firms and individual-level outcomes – including employment, migration, education, fertility, and health – and the economic and political determinants of violence and conflict in developing countries.

His research has been published in leading academic journals including Journal of the European Economic Association, Economic Journal, Journal of Development Economics, Demography, and World Bank Economic Review. He has worked as a consultant on issues related to conflict, trade policy, and industrial development for World Bank, UNIDO, UNCTAD, UNECA, ESCWA, ECLAC, IPD Initiative, and IGC.

He received his Ph.D. in Economics from University of Siena and the Laurea (Master) in Economics and Social Sciences from Bocconi University. Before joining Sapienza University of Rome, he was Associate Professor at Parthenope University of Naples (Italy).

WIDER Seminar Series

The WIDER Seminar Series showcases the latest research on key topics in development economics. It provides a forum for senior and early-career researchers, both inhouse and external, to present recent and ongoing work related to UNU-WIDER’s current work programme.

In addition to providing a forum for both academic debate and training, the series presents an opportunity for policy makers and others interested in development to learn about the latest research methods and findings.

In spring 2021, the Seminar Series events take place on Wednesdays. All those interested are invited to register and attend via Zoom.