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War often comes down to one thing: money. This book will be of interest not only to those involved in the burgeoning field of defence economics but also to those interested in international relations and defence studies.
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Economic Theories of Peace and War
War often comes down to one thing: money. The role of economics in both peace and war is arguably the most important single factor when it comes to the study of defence. The aim of this book is to provide a critical overview of the history of economic thought on defence, peace and war from its eighteenth-century origins right up to the present day. Important themes covered within the book include: • • • •
the German historical school classical economics and defence studies socialism through war or peace econometric analyses of military expenditures.
This superb book will be of interest not only to those involved in the burgeoning field of defence economics – it will also be of vital interest to students and academics from international relations, defence studies, philosophy and political science backgrounds. Fanny Coulomb is lecturer in Economic Science at the University Pierre Mendès of Grenoble, France.
© 2004 Fanny Coulomb
Studies in defence economics Edited by Keith Hartley and N. Hooper University of York
1
European Armaments Collaboration Policy, problems and prospects R. Matthews
2
Military Production and Innovation in Spain J. Molas-Gallart
3
Defence Science and Technology Adjusting to change R. Coopey, M. Uttley and G. Spiniardi
4
The Economics of Offsets Defence procurement and countertrade S. Martin
5
The Arms Trade, Security and Conflict Edited by P. Levine and R. Smith
6
Economic Theories of Peace and War F. Coulomb
7
From Defense to Development? International perspectives on realizing the peace dividend A. Markusen, S. DiGiovanna and M. Leary
© 2004 Fanny Coulomb
Economic Theories of Peace and War
Fanny Coulomb
© 2004 Fanny Coulomb
First published 2004 by Routledge 2 Park Square, Milton Park, Abingdon, Oxfordshire OX14 4RN Simultaneously published in the USA and Canada by Routledge 29 West 35th Street, New York, NY 10001 Routledge is an imprint of the Taylor & Francis Group This edition published in the Taylor & Francis e-Library, 2004. © 2004 Fanny Coulomb All rights reserved. No part of this book may be reprinted or reproduced or utilized in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging in Publication Data A catalog record for this book has been requested ISBN 0-203-49596-9 Master e-book ISBN
ISBN 0-203-57126-6 (Adobe eReader Format) ISBN 0-415-28408-2 (Print Edition)
© 2004 Fanny Coulomb
Contents
List of illustrations Introduction PART 1
The economy, a factor of peace or war: a theoretical dichotomy which appeared with political economy during the eighteenth century 1
National power benefits from the economy The mercantilist movement and the improbable peace The economic bases of national security, according to List The German historical school: for a pragmatic use of the economic and military power instruments in favour of the national interest
2
The economy as a factor of peace The physiocrats or the desirable peace The classical economists: free trade, a factor of peace and prosperity The triumph of economics as a factor of peace