An Analysis of Economic Warfare

Jeffrey Clemens

American Economic Review, 2013, vol. 103, issue 3, 523-27

Abstract: I develop a framework for assessing economic warfare, which describes efforts to undermine adversaries' sources of income. The ability to target adversarial market participants is a primary determinant of the success of such efforts, as is the elasticity of demand in the relevant market. An application of the framework to US efforts to suppress the Afghan opium trade yields pessimistic results. Inelastic demand and poorly targeted enforcement have led these efforts to increase the drug trade resources flowing toward the Taliban.

JEL-codes: D74 F51 O13 O17 Q18 (search for similar items in EconPapers)
Date: 2013
Note: DOI: 10.1257/aer.103.3.523
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Citations: View citations in EconPapers (5)

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