Polachek, Solomon W.; Seiglie, Carlos - In: Handbook of defense economics : volume 2, Defense in a …, (pp. 1017-1073). 2007
comparative advantage leads to gains from trade. If political conflict leads to a diminution of trade, then at least a portion of … the costs of conflict can be measured by a nation's lost gains from trade. The greater two nations' gains from trade the … more costly is bilateral (dyadic) conflict. This notion forms the basis of Baron de Montesquieu's assertion regarding …