What is it about?

This study explores how a country’s connection to the global economy affects its internal peace. By analyzing data from 126 countries between 1999 and 2022, the research finds that countries that trade more with the rest of the world tend to experience fewer internal conflicts. However, if the wealth generated from trade is not shared fairly across society, this positive effect can disappear. In fact, income inequality may increase the risk of unrest. The study also finds that, in some cases, democratization may not lead to peace if institutions are weak. These results suggest that economic openness can support social stability, but only when combined with fair income distribution and strong political foundations. This research helps policymakers understand that promoting trade alone is not enough—it must be accompanied by inclusive and equitable policies to truly reduce conflict.

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Why is it important?

This study is important because it provides new evidence on how global economic integration affects internal peace, using one of the most comprehensive country datasets and a robust empirical strategy. While many governments promote trade as a tool for growth, its implications for social stability are often unclear. Our findings show that openness can indeed reduce conflict, but only when the gains from trade are distributed fairly and political institutions are capable of managing social pressures. This makes the research timely for countries experiencing rising inequality, polarization, or debates over trade policy. By highlighting the conditions under which economic openness supports peace, the study offers insights that can help policymakers design more inclusive and resilient development strategies.

Perspectives

From my perspective as a researcher, this study highlights a critical but often overlooked point: economic reforms alone cannot guarantee stability. Many countries open their markets expecting rapid improvements in welfare, but when institutional capacity is limited or inequality is high, these reforms may intensify social tensions instead of alleviating them. I believe the findings emphasize the importance of linking trade policy with social policy—ensuring that the benefits of globalization are shared more broadly. I hope that this work encourages policymakers and researchers to think more carefully about the interplay between economic integration, fairness, and long-term peace.

Erdem Ateş
Munzur Universitesi

Read the Original

This page is a summary of: Trade openness, inequality, and internal conflict: global evidence from a dynamic panel analysis, International Journal of Operations & Production Management, December 2025, Emerald,
DOI: 10.1108/jes-08-2025-0578.
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