International Economic Sanctions Against a Dictator

William Kaempfer, Anton Lowenberg and William Mertens

Economics and Politics, 2004, vol. 16, issue 1, 29-51

Abstract: Wintrobe's (1990, 1998) dictatorship model is adapted to examine the impacts of economic sanctions on an autocrat. It is shown that the dictator's choice of the level of power, and the quantities of loyalty and repression used as inputs in the production of power, are affected by the type and magnitude of sanctions and by the impact of sanctions on the political effectiveness of opposition groups. Sanctions have direct and indirect effects on the prices of loyalty and repression as well as potentially generating rents that might be captured either by the dictator or by the opposition.

Date: 2004
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