Economic Mobility in Rural Rwanda: A Study of the Effects of War and Genocide at the Household Level

We study welfare gains and losses in a sample of 188 rural households in two Rwandan provinces over the time span 1990–2002. Our sample is unique because it covers a period of extreme and widespread violence. Using an economic mobility analysis, we seek to identify the impact of the shocks of the war, the genocide and their aftermath on long-term household welfare. To measure economic mobility between 1990 and 2002, we use both net income per adult equivalent and an asset index. We find that households experiencing the murder or imprisonment of one of their members moved considerably downwards in the income distribution. However, households affected by other war-related shocks such as the number of months taken refuge and the loss of physical capital were not worse off in 2002 compared with other households.