Power: The missing link in the trade conflict relationship

Jun Xiang, Xiaohong Xu, George Keteku

Research output: Contribution to journalArticlepeer-review

43 Scopus citations

Abstract

We join the debate on trade interdependence and conflict with a reexamination of Barbieri's (1996) intriguing empirical results showing that under certain circumstances, trade interdependence causes conflict. We argue that these findings resulted from a specification that was missing a variable. We return to Barbieri's models and introduce two independent power measures for countries within each dyad. When a correctly specified trade-conflict regression model incorporating the new power variables is performed, the constraining effect of interdependence becomes evident, and the results obtained are the reverse of Barbieri's.

Original languageEnglish (US)
Pages (from-to)646-663
Number of pages18
JournalJournal of Conflict Resolution
Volume51
Issue number4
DOIs
StatePublished - Aug 2007
Externally publishedYes

All Science Journal Classification (ASJC) codes

  • General Business, Management and Accounting
  • Sociology and Political Science
  • Political Science and International Relations

Keywords

  • Conflict
  • Military power
  • Omitted variable bias
  • Trade interdependence
  • Trade measurement

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