Many economists have analyzed the efficiency of a volunteered army relative to a conscripted army. However, they have rarely studied the working of real-world alternative, market-based, military institutions where military obligations are traded among the citizens. This paper fills this gap by...

"Armies fight battles, states fight wars. To focus solely on armies is to neglect the broader story of victory and defeat. Military power stems from an economic base, and without wealth, soldiers cannot be paid, weapons cannot be procured, and food cannot be bought. War finance is among the most...