Page 166 - Abhivruddhi

6. ODA
Peacebuilding 6. Terrorism 6. Suicide
expenditure

As the focus of this paper is on the economic impact of armed conflicts
solitary, the costs related to interpersonal and self-inflicted violence are
ignored in the analysis.
Along with the direct and indirect costs that have been assessed in the
paper, the multiplier effect is also considered. Multiplier effect represents
the flow-on effect of direct costs. It is a common concept used in
economics, which describes the extent to which additional expenditure
improves the wider economy. While the exact magnitude of the multiplier
effect is difficult to measure, it is particularly high in case of expenditures
related to violence containment.

Data collection and analysis:
I] Trend in Global impact of Violence
The general trend observed in the above figure makes it clear that since
2007, the economic impact of violence on the world has been gradually

increasing. There was a sharp rise in one the year of 2009-10 followed by
a sudden decline from 2010 to 2012. Again, a steady increase is seen in
the numbers. Another sharp rise can be noted in the period of two years
of 2015- 2017. For the first time after 2012, a decline in the trend was
observed when the global economic impact of violence decreased by 3.3
%. This reduction was primarily due to the reduction in Armed conflicts
(particularly in the Middle East and North Africa, MENA region) and
improvements seen in the regions of Syria, Columbia and Ukraine.
The above chart is an overview for understanding how much violence

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