Mohamad M. Al-Ississ
Former Research Fellow 2008-2009, The Dubai Initiative
November, 2009
The Cross-Border Financial Impact of Violence
Working Paper
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
This paper argues that violent events have two economic effects: a direct loss from the destruction of physical and human capital, and a reallocation of financial and economic resources. It documents the positive cross-border impact that follows violent events as a result of this reallocation. Thus, it reconciles the two existing perspectives in the literature on whether violence has a small or large economic effect. Our results show that, in globally integrated markets, the substitution of financial and economic activities away from afflicted countries magnifies their losses. This study evaluates certain factors affecting the impact of violence in non-event countries. Geographic distance from the event country is not monotonic in its effect on the valuation of equities of other countries. Also, the safer a non-event country is perceived to be relative to the event country, the greater the positive impact on its financial market. Finally, event countries with deeper financial markets are less susceptible to capital reallocation following an event.
November, 2009
Applying For-Profit Principles in Water Management and Agricultural Policy in the Middle East and North Africa
Policy Brief
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
Through its partnerships with the government, the agricultural sector in the MENA has long engaged in dubious accounting practices to raise its reported profits through artificially suppressing its costs. This has led to the current unsustainable exploitation of the scarce water resources in the region.
March 11, 2009
Listen to "The Cross-Border Impact of Violent Events" with DI Fellow, Mohamad Al-Ississ
Event Report
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
In a Dubai Initiative Brown Bag Seminar on February 18, 2009, DI Fellow Mohamad Al-Ississ discussed the cross-border impact of violent events.
November, 2009
The Cross-Border Financial Impact of Violence
Working Paper
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
This paper argues that violent events have two economic effects: a direct loss from the destruction of physical and human capital, and a reallocation of financial and economic resources. It documents the positive cross-border impact that follows violent events as a result of this reallocation. Thus, it reconciles the two existing perspectives in the literature on whether violence has a small or large economic effect. Our results show that, in globally integrated markets, the substitution of financial and economic activities away from afflicted countries magnifies their losses. This study evaluates certain factors affecting the impact of violence in non-event countries. Geographic distance from the event country is not monotonic in its effect on the valuation of equities of other countries. Also, the safer a non-event country is perceived to be relative to the event country, the greater the positive impact on its financial market. Finally, event countries with deeper financial markets are less susceptible to capital reallocation following an event.
November, 2009
Applying For-Profit Principles in Water Management and Agricultural Policy in the Middle East and North Africa
Policy Brief
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
Through its partnerships with the government, the agricultural sector in the MENA has long engaged in dubious accounting practices to raise its reported profits through artificially suppressing its costs. This has led to the current unsustainable exploitation of the scarce water resources in the region.
November, 2009
The Cross-Border Financial Impact of Violence
Working Paper
By Mohamad M. Al-Ississ, Former Research Fellow 2008-2009, The Dubai Initiative
This paper argues that violent events have two economic effects: a direct loss from the destruction of physical and human capital, and a reallocation of financial and economic resources. It documents the positive cross-border impact that follows violent events as a result of this reallocation. Thus, it reconciles the two existing perspectives in the literature on whether violence has a small or large economic effect. Our results show that, in globally integrated markets, the substitution of financial and economic activities away from afflicted countries magnifies their losses. This study evaluates certain factors affecting the impact of violence in non-event countries. Geographic distance from the event country is not monotonic in its effect on the valuation of equities of other countries. Also, the safer a non-event country is perceived to be relative to the event country, the greater the positive impact on its financial market. Finally, event countries with deeper financial markets are less susceptible to capital reallocation following an event.
