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The success and use of economic sanctions

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  • Alastair Smith

Abstract

This paper explains the use and the success of economic sanctions. In the model, a sender, nation A, uses sanctions to force a target, nation B, to alter its current policy. I use a continuous time, one sided incomplete information game to show that the decision of the sender to sanction is related to the decision of the target to resist I characterize the conditions under which sanctions occur, the conditions under which the sender threatens sanctions and the conditions under which sanctions are successful. The analysis reveals that the success of sanctions affects whether a nation chooses to sanction. I discuss how the implications of this result relates to the cases of sanctions that we empirically observe.

Suggested Citation

  • Alastair Smith, 1995. "The success and use of economic sanctions," International Interactions, Taylor & Francis Journals, vol. 21(3), pages 229-245.
    • Handle: RePEc:taf:ginixx:v:21:y:1995:i:3:p:229-245
    DOI: 10.1080/03050629508434867
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    Cited by:

    1. van Bergeijk, Peter A. G. & Hossain Siddiquee, Muhammad Shahadat, 2015. "Bias and methodological change in economic sanction reconsidered," Economics Discussion Papers 2015-33, Kiel Institute for the World Economy (IfW Kiel).
    2. Nikolay Marinov, 2005. "Do Economic Sanctions Destabilize Country Leaders?," American Journal of Political Science, John Wiley & Sons, vol. 49(3), pages 564-576, July.
    3. Felbermayr, Gabriel & Morgan, T. Clifton & Syropoulos, Constantinos & Yotov, Yoto V., 2021. "Understanding economic sanctions: Interdisciplinary perspectives on theory and evidence," European Economic Review, Elsevier, vol. 135(C).
    4. Elena V McLean & Kaisa H Hinkkainen & Luis De la Calle & Navin A Bapat, 2018. "Economic sanctions and the dynamics of terrorist campaigns," Conflict Management and Peace Science, Peace Science Society (International), vol. 35(4), pages 378-401, July.
    5. von Soest, Christian & Wahman, Michael, 2013. "Sanctions and Democratization in the Post-Cold War Era," GIGA Working Papers 212, GIGA German Institute of Global and Area Studies.
    6. Peter A.G. van Bergeijk, 2009. "Economic Diplomacy and the Geography of International Trade," Books, Edward Elgar Publishing, number 13518.
    7. Menevis Cilizoglu & Navin A Bapat, 2020. "Economic coercion and the problem of sanctions-proofing," Conflict Management and Peace Science, Peace Science Society (International), vol. 37(4), pages 385-408, July.
    8. Denise Guthrie & Erick Duchesne, 2003. "(Mis)Selection Effects and Sovereignty Costs: An Alternative Measure of the Costs of Sanctions," University of Western Ontario, Economic Policy Research Institute Working Papers 20032, University of Western Ontario, Economic Policy Research Institute.
    9. Kirill Chmel & Alexander Demin & Kirill Kazantcev, 2017. "Dictators’ Behavior Under Conditions of Economic Sanctions Cumulative Effect," HSE Working papers WP BRP 50/PS/2017, National Research University Higher School of Economics.

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