Arbeitspapier

Proxy wars

Proxy wars are a key pattern of political conflict and interstate competition. Rather than resorting to direct conflicts, which are costly and entail a higher level of uncertainty, governments may opt for proxy wars, which may last longer, but are less costly and render them more immune to exogenous shocks. We start with the modeling of a direct war with two players where a static equilibrium may be neither realizable nor sustainable in the long run. Then, we offer a model of proxy war where the proposed equilibria are realizable, but not always sustainable in the long run. The consolidation level of the double principal-agent relationship predicts the continuation of conflict and thus the emergence of peace.

Language
Englisch

Bibliographic citation
Series: Discussion Paper ; No. 2018/4

Classification
Wirtschaft
Noncooperative Games
Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Conflict; Conflict Resolution; Alliances; Revolutions
Comparative Analysis of Economic Systems
Subject
non-cooperative games
principal-agent models
proxy conflicts

Event
Geistige Schöpfung
(who)
Konyukhovskiy, Pavel V.
Grigoriadis, Theocharis
Event
Veröffentlichung
(who)
Freie Universität Berlin, School of Business & Economics
(where)
Berlin
(when)
2018

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Konyukhovskiy, Pavel V.
  • Grigoriadis, Theocharis
  • Freie Universität Berlin, School of Business & Economics

Time of origin

  • 2018

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