Research

Minerals on the Move: Mineral Trade and Armed Conflict in Eastern Congo

 The Democratic Republic of Congo (DRC) is exemplary of the resource curse, as mineral wealth is not used for economic development but reportedly exploited by armed groups in order to finance conflict. Mineral extraction at artisinal mines is assumed to play a key role in this process, while other parts of the supply chain remain overlooked. In this paper, I investigate the distinct impact of mineral trade, in addition to mineral extraction, on conflict dynamics. Using novel geocoded panel data from 2015 to 2022 in the DRC's Kivu provinces, I show that an increase in world mineral prices is positively linked to conflict in grid-cells with trade routes. I find no such effect for cells containing mining sites. These findings are consistent with greed motives where armed groups strategically protect mineral rents to ensure long-term survival near mines, while mineral trade serves as an attractive target for predation. Finally, I show that mineral trade appears to finance rebel activities, enabling rebel groups to instigate conflict well beyond the boundaries of their territories.

Export Restrictions on Raw Materials: Evidence from Indonesia

with Maarten Bosker, Paul Pelzl and Steven Poelhekke

Do voluntary export restrictions promote domestic economic development? While an export ban foregoes export revenue, and may result in a permanent loss of market share, it may also reduce input costs for domestic downstream manufacturers that compete on world markets, thus stimulating development. We address this question in the context of Indonesia, a major producer of raw materials such as nickel, bauxite, and copper, which banned the export of unprocessed ores in 2014. The data indicate that downstream manufacturing plants that use nickel as an input increased output and employment following the export ban. In contrast, we find no effects on plants downstream to bauxite or other minerals. This is rationalized by large investments in processing capacity for nickel-ore but not for other minerals. Without additional refining capacity, the export ban instead resulted in the suspension of mining and unintended negative effects for economic activity in mining regions. 

A Students’ Preferences-Based Approach to Select Methods for Detecting and Handling Free-Riding
with Tim Benning, published in Journal of Marketing Education, 2021

Free-riding is a serious challenge in group projects. While there are various methods to reduce free-riding, marketing educators still face a difficult task when selecting an appropriate method for their course. In this study, we propose a students’ preferences-based approach that supports marketing educators with the selection of methods to detect and handle free-riding. To measure these preferences, students completed an online survey based on a choice task about two methods to detect free-riding and a ranking task about four methods to handle free-riding (n = 254). Their answers were analyzed using chi-squared tests, Borda scores, and rank-ordered logit models. The results show that (a) neither Dutch nor international students have a clear preference for one of the two detection methods (the reporting system vs. the process evaluation system), (b) grade discussion (a possible reduction of the free-rider’s grade based on a conversation with the course coordinator about each student’s contribution) is the most preferred method to handle free-riding, and (c) international students have a stronger preference for stricter handling methods. Marketing educators can apply the proposed approach, or use our specific findings, for designing methods to reduce free-riding in their courses.