IDEAS home Printed from https://ideas.repec.org/a/spr/epolit/v40y2023i3d10.1007_s40888-023-00315-w.html
   My bibliography  Save this article

Italian small arms exports: between incentives and international sanctions

Author

Listed:
  • Adelaide Baronchelli

    (University of Turin)

  • Raul Caruso

    (Università Cattolica del Sacro Cuore)

Abstract

This paper empirically investigates the determinants of Italian Small Arms and Light Weapons (hereafter SALW) exports to 143 polities from 1990 to 2017. We focus in particular on three aspects: (1) the economic drivers of SALW exports by means of a standard gravity equation of trade; (2) the internal characteristics of the importer country, namely the degree of militarization and the attitude to violence exerted by government against citizens; (3) the impact of international constraints on SALW trade by highlighting in particular EU and UN embargoes. We estimate the empirical models for total exports but also distinguishing between the two sub-categories of military and sporting SALW. Findings highlight that (1) there is a complementarity between Italian exports and the importer’s military expenditure; (2) there is a correlation between Italian exports of SALW and both a disregard for physical integrity and a potential for military influence over the government in the importing country; (3) international embargoes reduce substantially Italian SALW exports; (4) UN and EU embargoes seem to have a different impact; (5) There is no evidence of sanctions-busting. In broader terms, this study highlights that unlike the standard patterns observed for civilian goods, political and military factors matter substantially for the international trade of SALW.

Suggested Citation

  • Adelaide Baronchelli & Raul Caruso, 2023. "Italian small arms exports: between incentives and international sanctions," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 40(3), pages 1075-1106, October.
    • Handle: RePEc:spr:epolit:v:40:y:2023:i:3:d:10.1007_s40888-023-00315-w
    DOI: 10.1007/s40888-023-00315-w
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40888-023-00315-w
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40888-023-00315-w?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Margherita Comola, 2012. "Democracies, Politics, and Arms Supply," Review of International Economics, Wiley Blackwell, vol. 20(1), pages 150-163, February.
    2. Chih-Hai Yang, 2020. "Determinants of China’s arms exports: a political economy perspective," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 25(1), pages 156-174, January.
    3. Baier, Scott L. & Bergstrand, Jeffrey H., 2009. "Bonus vetus OLS: A simple method for approximating international trade-cost effects using the gravity equation," Journal of International Economics, Elsevier, vol. 77(1), pages 77-85, February.
    4. Pramila Crivelli & Jasmin Groeschl, 2016. "The Impact of Sanitary and Phytosanitary Measures on Market Entry and Trade Flows," The World Economy, Wiley Blackwell, vol. 39(3), pages 444-473, March.
    5. James E. Anderson & Eric van Wincoop, 2003. "Gravity with Gravitas: A Solution to the Border Puzzle," American Economic Review, American Economic Association, vol. 93(1), pages 170-192, March.
    6. Vincenzo Bove & Claudio Deiana & Roberto Nistic�, 2018. "Global Arms Trade and Oil Dependence," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 34(2), pages 272-299.
    7. Caruso Raul, 2003. "The Impact of International Economic Sanctions on Trade: An Empirical Analysis," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 9(2), pages 1-36, April.
    8. Inmaculada Martínez-Zarzoso & Florian Johannsen, 2019. "The Gravity of Arms," Defence and Peace Economics, Taylor & Francis Journals, vol. 30(1), pages 2-26, January.
    9. Vincenzo Bove & Jessica Di Salvatore & Roberto Nisticò, 2023. "Economic Sanctions and Trade Flows in the Neighborhood," Journal of Law and Economics, University of Chicago Press, vol. 66(4), pages 671-697.
    10. Walter Isard & Merton J. Peck, 1954. "Location Theory and International and Interregional Trade Theory," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 68(1), pages 97-114.
    11. Marius Mehrl & Paul W. Thurner, 2020. "Military Technology and Human Loss in Intrastate Conflict: The Conditional Impact of Arms Imports," Journal of Conflict Resolution, Peace Science Society (International), vol. 64(6), pages 1172-1196, July.
    12. Natasha Agarwal & Zheng Wang, 2018. "Does the US EXIM Bank really promote US exports?," The World Economy, Wiley Blackwell, vol. 41(5), pages 1378-1414, May.
    13. Daniel Berger & William Easterly & Nathan Nunn & Shanker Satyanath, 2013. "Commercial Imperialism? Political Influence and Trade during the Cold War," American Economic Review, American Economic Association, vol. 103(2), pages 863-896, April.
    14. Akerman, Anders & Seim, Anna Larsson, 2014. "The global arms trade network 1950–2007," Journal of Comparative Economics, Elsevier, vol. 42(3), pages 535-551.
    15. Mark Duggan, 2001. "More Guns, More Crime," Journal of Political Economy, University of Chicago Press, vol. 109(5), pages 1086-1114, October.
    16. Enghin Atalay & Ali Hortaçsu & Mary Jialin Li & Chad Syverson, 2019. "How Wide Is the Firm Border?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 134(4), pages 1845-1882.
    17. Adelaide Baronchelli & Raul Caruso & Roberto Ricciuti, 2022. "Trade in Small Arms and Light Weapons: Are embargoes effective?," The World Economy, Wiley Blackwell, vol. 45(5), pages 1336-1361, May.
    18. Matthew Lang, 2013. "Firearm Background Checks and Suicide," Economic Journal, Royal Economic Society, vol. 123(12), pages 1085-1099, December.
    19. Anna Andersson, 2016. "Export Performance and Access to Intermediate Inputs: The Case of Rules of Origin Liberalisation," The World Economy, Wiley Blackwell, vol. 39(8), pages 1048-1079, August.
    20. Raul Caruso & Addesa Francesco, 2012. "Country Survey: Military Expenditure And Its Impact On Productivity In Italy, 1988--2008," Defence and Peace Economics, Taylor & Francis Journals, vol. 23(5), pages 471-484, October.
    21. Siegel, M. & Ross, C.S. & King III, C., 2013. "The relationship between gun ownership and firearm homicide rates in the United States, 1981-2010," American Journal of Public Health, American Public Health Association, vol. 103(11), pages 2098-2105.
    22. Brzoska Michael, 2008. "Measuring the Effectiveness of Arms Embargoes," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 14(2), pages 1-34, July.
    23. Walter Isard, 1954. "Location Theory and Trade Theory: Short-Run Analysis," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 68(2), pages 305-320.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Adelaide Baronchelli & Raul Caruso & Roberto Ricciuti, 2022. "Trade in Small Arms and Light Weapons: Are embargoes effective?," The World Economy, Wiley Blackwell, vol. 45(5), pages 1336-1361, May.
    2. Peter A.G. van Bergeijk, 2009. "Economic Diplomacy and the Geography of International Trade," Books, Edward Elgar Publishing, number 13518, March.
    3. Pamp, Oliver & Lebacher, Michael & Thurner, Paul W. & Ziegler, Eva, 2021. "Explaining destinations and volumes of international arms transfers: A novel network Heckman selection model," European Journal of Political Economy, Elsevier, vol. 69(C).
    4. Baronchelli, Adelaide & Caruso, Raul, 2024. "Did CIA interventions increase US arms exports? Evidence from the Cold War (1962–1989)," Economics Letters, Elsevier, vol. 238(C).
    5. Koffi Dumor & Li Yao, 2019. "Estimating China’s Trade with Its Partner Countries within the Belt and Road Initiative Using Neural Network Analysis," Sustainability, MDPI, vol. 11(5), pages 1-22, March.
    6. Apeti, Ablam Estel & N’Doua, Bossoma Doriane, 2023. "The impact of timber regulations on timber and timber product trade," Ecological Economics, Elsevier, vol. 213(C).
    7. Auer, Daniel & Meierrieks, Daniel, 2021. "Merchants of death: Arms imports and terrorism," European Economic Review, Elsevier, vol. 137(C).
    8. Afesorgbor, Sylvanus Kwaku, 2019. "The impact of economic sanctions on international trade: How do threatened sanctions compare with imposed sanctions?," European Journal of Political Economy, Elsevier, vol. 56(C), pages 11-26.
    9. (ed.), 0. "Research Handbook on Economic Diplomacy," Books, Edward Elgar Publishing, number 16053, March.
    10. Jerg Gutmann & Matthias Neuenkirch & Florian Neumeier, 2024. "Do China and Russia undermine Western sanctions? Evidence from DiD and event study estimation," Review of International Economics, Wiley Blackwell, vol. 32(1), pages 132-160, February.
    11. Head, Keith & Mayer, Thierry, 2014. "Gravity Equations: Workhorse,Toolkit, and Cookbook," Handbook of International Economics, in: Gopinath, G. & Helpman, . & Rogoff, K. (ed.), Handbook of International Economics, edition 1, volume 4, chapter 0, pages 131-195, Elsevier.
    12. Martina Lawless, 2010. "Deconstructing gravity: trade costs and extensive and intensive margins," Canadian Journal of Economics, Canadian Economics Association, vol. 43(4), pages 1149-1172, November.
    13. Vincenzo Bove & Claudio Deiana & Roberto Nistic�, 2018. "Global Arms Trade and Oil Dependence," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 34(2), pages 272-299.
    14. Natasha Agarwal & Zheng Wang, 2018. "Does the US EXIM Bank really promote US exports?," The World Economy, Wiley Blackwell, vol. 41(5), pages 1378-1414, May.
    15. Raul Caruso, 2021. "Economic Statecraft: from Negative Sanctions to Positive Sanctions," Working Papers 1010, European Centre of Peace Science, Integration and Cooperation (CESPIC), Catholic University 'Our Lady of Good Counsel'.
    16. Emmanuelle Lavallée & Julie Lochard, 2022. "International trade and face-to-face diplomacy," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(4), pages 987-1010, November.
    17. Escaith, Hubert, 2023. "Trade, (de)globalization and the distance puzzle," MPRA Paper 119045, University Library of Munich, Germany.
    18. Dela-Dem Doe Fiankor & Insa Flachsbarth & Amjad Masood & Bernhard Brümmer, 2020. "Does GlobalGAP certification promote agrifood exports? [Standards as barriers versus standards as catalysts: assessing the impact of HACCP implementation on US seafood imports]," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 47(1), pages 247-272.
    19. Mathieu Couttenier & Raphael Soubeyran, 2010. "Civil War in a Globalized World: Diplomacy and Trade," Working Papers 10-02, LAMETA, Universtiy of Montpellier, revised Feb 2010.
    20. Lavallée, Emmanuelle & Lochard, Julie, 2015. "The comparative effects of independence on trade," Journal of Comparative Economics, Elsevier, vol. 43(3), pages 613-632.

    More about this item

    Keywords

    Small Arms; Arms trade; Gravity model;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions
    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:epolit:v:40:y:2023:i:3:d:10.1007_s40888-023-00315-w. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.