The Power to Hurt: Costly Conflict with Completely Informed States

Branislav L. Slantchev

American Political Science Review, 2003, vol. 97, issue 1, 123-133

Abstract: Because war is costly and risky, states have incentives to negotiate and avoid conflict. The common rationalist explanation is that war results from private information and incentives to misrepresent it. By modeling warfare as a costly bargaining process, I show that inefficient fighting can occur in equilibrium under complete information and very general assumptions favoring peace. Specifically, I assume that peace can be supported in equilibrium and that fighting brings no benefits to either state, only costs. Although there exist agreements that Pareto-dominate the final settlement, states may prefer to fight. The result turns on the ability of states to impose costs on their opponents and bear costs in return. The existence of a range of acceptable settlements and the threat to revert to particularly disadvantageous ones make inefficient equilibria possible. A diminished ability to hurt the enemy, not simply military victory, is a major reason to stop fighting.This article is a shorter version of the first chapter of my dissertation. I thank Randall Stone, Curt Signorino, John Duggan, and Robert Westbrooke for valuable comments. Previous versions were presented to the Peace Science Society, October 2001, and the Midwest Political Science Association, April 2002.

Date: 2003
References: Add references at CitEc
Citations: View citations in EconPapers (64)

Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cup:apsrev:v:97:y:2003:i:01:p:123-133_00

Access Statistics for this article

More articles in American Political Science Review from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().