The project aims to study the interaction between globalization and violent political conflict. More precisely, it aims to see how increased interaction between countries directly and indirectly affects the conditions for the initiation of group conflict and of interstate conflict. Theoretically, the projects contrasts rational-choice/micro-economic models from the liberal tradition with theories and models that stress structural constraints and processes, at the systemic level as well as at the domestic level. For internal conflict, the project sees the following variables in relation to conflict: trade and investment, economic development and income inequality, and political system. For interstate conflict, interstate trade, economic development, political system, and inequality of development are the relevant variables. Empirically, the study will make use of multi-equation models to analyze time-series for a wide range of countries.