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Does terrorism affect savings? Evidence from Nigeria

ACDE Seminar


Alberto Posso, RMIT


Other, please see description for details


Tuesday, 19 October, 2021 - 14:00 to 15:30

The relationship between terrorism and savings is conceptually ambiguous. Terrorism can (i) lower savings by increasing perceived associated risks or (ii) result in more precautionary savings as a coping strategy. A scarce empirical literature fails to resolve this ambiguity. I address it by differentiating between formal and informal savings. I argue that individuals perceive formal institutions (banks) as more likely to fall to terrorism than informal channels.

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