Economies across the Middle East and Central Asia are more affected by conflicts—even a decade after a severe conflict, their income per capita remains about 10 percent lower. The idea that violent conflict reduces economic output is uncontroversial. However, the repercussions are notably harsher and longer lasting in these regions than in most others, as we show in a chapter of our latest Regional Economic Outlook for the Middle East and Central Asia. A year after the start of a severe conflict, countries in these regions lose about 2 percent in real GDP per capita compared to before the conflict, with the decline ... (full story)