Violence in economic growth models

Abstract

We introduce two dynamic models, that relate violence and economic growth in the short and the long term. We formalize these hypothesis though the endogenous and exogenous economic theories of growth, which capture the costs caused to physical and human capital by violent crime . The models incorporate violence as an exogenous factor.  Moreover, we retake the discussion about its structural nature; that is, the tough explanation for the existence of violence. The theoretical development leads to economies having structural violence, experiencing lower groth of its productive activity.