Most Favored Nation (MFN) status, trade embargoes and blockades have traditionally been used to entice nations to alter their behavior or to punish them for certain behavior. The intentions behind these policies are generally noble, at least on the surface. However, instituting these policies...

Reference: Challenge, January/February, 1979

This paper considers an economy where groups compete in a contest for power to redistribute future income in their favor. An increased external threat of terrorism--either an increase in the likelihood of a successful terrorist attack or a greater loss of income in the event of a successful...

Recent contributions to the economics of terrorism have given contradicting recommendations for campaigning against terrorism, from the proposal to deprive terrorists of their resources to the proposal of raising the opportunity costs of terrorism by increasing the wealth of the affected...

Post-conflict situations face a high risk of reversion to conflict. We investigate the effect of military expenditure by the government during the first decade post-conflict on the risk of reversion. We contrast two theories as to the likely effects. In one, military spending deters conflict by...

In this paper, we examine the prospects for base realignment and closure in Peru and develop an initial strategy for the realignment and closure process. While previous research has focused primarily on the realignment and closure process in developed countries, we instead focus on the need for...

We investigate the causes of civil war, using a new data set of wars during 1960-99. We test a `greed’ theory focusing on the ability to finance rebellion, against a`grievance’ theory focusing on ethnic and religious divisions, political repression and inequality. We find that greed...

This paper estimates what characteristics (e.g. location, number of casualties, and type of attack) are associated with an Islamic terrorist attack. This is established by identifying the significant determinants of the probability that an attack had been carried out by Islamic terrorists. For...

The Washington Consensus suffers from fundamental inadequacies, and that a more comprehensive framework of the economic process is needed to guide the formulation of country-specific development strategies. The following five propositions summarise the set of interrelated arguments made in this...

This essay brings fiscal federalism theory into contact with the knowledge perspective to economic organization. The question addressed is: can a central government be justified in the context of fiscal federalism on grounds of economic organization? We point out that if one looks at the...