IDEAS home Printed from https://ideas.repec.org/p/pea/wpaper/1010.html
   My bibliography  Save this paper

Economic Statecraft: from Negative Sanctions to Positive Sanctions

Author

Listed:
  • Raul Caruso

    (Department of Economic Policy and CSEA, Catholic University of Sacred Heart CESPIC, Catholic University Our Lady of Good Counsel)

Abstract

This paper presents some insights on economic statecraft with a special focus on economic sanctions. Taking some evidence on negative economic sanctions as point of departure the paper is an attempt to throw light on aspects and factors which could be considered relevant while designing ‘positive’ economic sanctions. Two aspects have been highlighted as being crucial. First, a proper consideration of interest and social groups has been proven to explain the failure of comprehensive negative sanctions, the success of smart sanctions and – more interestingly – the potential success of positive sanctions. Secondly, the existence (or the lack) of some institutional arrangement between sender states also explains the failure of negative sanctions as well as the potential success of positive sanctions.

Suggested Citation

  • 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'.
    • Handle: RePEc:pea:wpaper:1010
    as

    Download full text from publisher

    File URL: https://repec.unizkm.edu.al/pea/wpaper/WP_CARUSO.pdf
    File Function: First version, 2021
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Dursun Peksen, 2019. "When Do Imposed Economic Sanctions Work? A Critical Review of the Sanctions Effectiveness Literature," Defence and Peace Economics, Taylor & Francis Journals, vol. 30(6), pages 635-647, September.
    2. Martin C. McGuire & Mancur Olson, 1998. "The Economics of Autocracy and Majority Rule: The Invisible Hand and the Use of Force," International Economic Association Series, in: Silvio Borner & Martin Paldam (ed.), The Political Dimension of Economic Growth, chapter 3, pages 38-73, Palgrave Macmillan.
    3. Marc J. Melitz & Daniel Trefler, 2012. "Gains from Trade When Firms Matter," Journal of Economic Perspectives, American Economic Association, vol. 26(2), pages 91-118, Spring.
    4. Klaus Abbink & Lu Dong & Lingbo Huang, 2021. "Arms Races and Conflict: Experimental Evidence," The Economic Journal, Royal Economic Society, vol. 131(637), pages 1883-1904.
    5. Michael D. Intriligator & Dagobert L. Brito, 1987. "Can Arms Races Lead to the Outbreak of War?," International Economic Association Series, in: Christian Schmidt (ed.), The Economics of Military Expenditures, chapter 9, pages 180-196, Palgrave Macmillan.
    6. 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.
    7. Solomon William Polachek, 1980. "Conflict and Trade," Journal of Conflict Resolution, Peace Science Society (International), vol. 24(1), pages 55-78, March.
    8. Daniel Verdier & Byungwon Woo, 2011. "Why Rewards Are Better Than Sanctions," Economics and Politics, Wiley Blackwell, vol. 23(2), pages 220-238, July.
    9. 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.
    10. Raul Caruso, 2006. "A Trade Institution as a Peaceful Institution? A Contribution to Integrative Theory," Conflict Management and Peace Science, Peace Science Society (International), vol. 23(1), pages 53-72, February.
    11. William H. Kaempfer & Anton D. Lowenberg & William Mertens, 2004. "International Economic Sanctions Against a Dictator," Economics and Politics, Wiley Blackwell, vol. 16(1), pages 29-51, March.
    12. Reuveny Rafael, 2000. "The Trade and Conflict Debate: A Survey of Theory, Evidence and Future Research," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 6(1), pages 1-29, January.
    13. Peter A.G. van Bergeijk (ed.), 2021. "Research Handbook on Economic Sanctions," Books, Edward Elgar Publishing, number 19551.
    14. Peter A.G. van Bergeijk, 1994. "Economic Diplomacy, Trade And Commercial Policy," Books, Edward Elgar Publishing, number 447.
    15. Solomon Polachek & Carlos Seiglie & Jun Xiang, 2005. "Globalization and International Conflict: Can FDI Increase Peace?," Working Papers Rutgers University, Newark 2005-004, Department of Economics, Rutgers University, Newark.
    16. Gary Clyde Hufbauer & Jeffrey J. Schott & Kimberly Ann Elliott, 2009. "Economic Sanctions Reconsidered, 3rd Edition (paper)," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 4129, October.
    17. Bergeijk Peter A.G. van & Demena Binyam A. & Reta Alemayehu & Jativa Gabriela Benalcazar & Kimararungu Patrick, 2019. "Could the literature on the economic determinants of sanctions be biased?," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 25(4), pages 1-4, December.
    18. Marcel P. Timmer & Abdul Azeez Erumban & Bart Los & Robert Stehrer & Gaaitzen J. de Vries, 2014. "Slicing Up Global Value Chains," Journal of Economic Perspectives, American Economic Association, vol. 28(2), pages 99-118, Spring.
    19. Byungwon Woo & Daniel Verdier, 2020. "A unifying theory of positive and negative incentives in international relations: sanctions, rewards, regime types, and compliance," Economics of Governance, Springer, vol. 21(3), pages 215-236, September.
    20. Shane Bonetti, 1998. "Distinguishing characteristics of degrees of success and failure in economic sanctions episodes," Applied Economics, Taylor & Francis Journals, vol. 30(6), pages 805-813.
    21. 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.
    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. Peter A.G. van Bergeijk, 2009. "Economic Diplomacy and the Geography of International Trade," Books, Edward Elgar Publishing, number 13518.
    2. Demena, B.A. & Benalcazar Jativa, G. & Reta, A.S. & Kimararungu, P.B. & van Bergeijk, P.A.G., 2021. "Does research on economic sanctions suffer from publication bias?," ISS Working Papers - General Series 674, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    3. William Seitz & Alberto Zazzaro, 2020. "Sanctions and public opinion: The case of the Russia-Ukraine gas disputes," The Review of International Organizations, Springer, vol. 15(4), pages 817-843, October.
    4. Raul Caruso, 2015. "Beyond deterrence and decline. Towards a general understanding of peace economics," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 123(1), pages 57-74.
    5. 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.
    6. David Lektzian & Glen Biglaiser, 2014. "The effect of foreign direct investment on the use and success of US sanctions," Conflict Management and Peace Science, Peace Science Society (International), vol. 31(1), pages 70-93, February.
    7. Massoud Tansa G. & Magee Christopher S., 2012. "Trade and Political, Military, and Economic Relations," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 18(1), pages 1-39, May.
    8. Coyne,Christopher J., 2020. "Defense, Peace, and War Economics," Cambridge Books, Cambridge University Press, number 9781108724036.
    9. Reuven Glick & Alan M. Taylor, 2010. "Collateral Damage: Trade Disruption and the Economic Impact of War," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 102-127, February.
    10. Felbermayr, Gabriel & Kirilakha, Aleksandra & Syropoulos, Constantinos & Yalcin, Erdal & Yotov, Yoto V., 2020. "The global sanctions data base," European Economic Review, Elsevier, vol. 129(C).
    11. Gabriel Felbermayr & Erdal Yalcin & Philipp Grübener, 2014. "Economic Aspects of the Russia Conflict: Causes, Costs, Options," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 67(14), pages 35-43, July.
    12. 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.
    13. Haggard, Stephan & Noland, Marcus, 2016. "Hard Target: Sanctions, Inducements, and the Case of North Korea," MPRA Paper 105812, University Library of Munich, Germany.
    14. Peter A. G. van Bergeijk, 2020. "Can the Sanction Debate Be Resolved?," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 20(04), pages 3-8, January.
    15. Andreea – Emanuela Drǎgoi & Napoleon Pop, 2016. "Scenario Analysis for the Perspectives of the EU-Russian Federation Relationship," Global Economic Observer, "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences;Institute for World Economy of the Romanian Academy, vol. 4(2), pages 66-73, November.
    16. Larch, Mario & Luckstead, Jeff & Yotov, Yoto, 2021. "Economic Sanctions and Agricultural Trade," School of Economics Working Paper Series 2021-16, LeBow College of Business, Drexel University.
    17. Tran Manh Ha & Doan Ngoc Thang, 2023. "Economic sanction and global sourcing complexity: A cross‐country analysis," The World Economy, Wiley Blackwell, vol. 46(4), pages 1017-1050, April.
    18. Mikhail A Alexseev & Henry E Hale, 2020. "Crimea come what may: Do economic sanctions backfire politically?," Journal of Peace Research, Peace Research Institute Oslo, vol. 57(2), pages 344-359, March.
    19. Fatemeh Rahimzadeh & Hamed Pirpour & Bahman P. Ebrahimi, 2022. "The impact of economic sanctions on the efficiency of bilateral energy exports: the case of Iran," SN Business & Economics, Springer, vol. 2(9), pages 1-18, September.
    20. Mintz Alex & Heo Uk, 2014. "Triads in International Relations: The Effect of Superpower Aid, Trade, and Arms Transfers on Conflict in the Middle East," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 20(3), pages 1-19, August.

    More about this item

    Keywords

    economic sanctions; positive sanctions; negative sanctions; effectiveness; trade; interest groups;
    All these keywords.

    JEL classification:

    • 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
    • F5 - International Economics - - International Relations, National Security, and International Political Economy
    • N40 - Economic History - - Government, War, Law, International Relations, and Regulation - - - General, International, or Comparative

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:pea:wpaper:1010. 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: Raul Caruso (email available below). General contact details of provider: https://edirc.repec.org/data/cezkmal.html .

    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.