000 01915cam a2200217 4500
100 1 _aWEBER Shlomo
700 _aWEBER Y. Weber
700 _aWIESMETH H. Wiesmeth
245 _aHierarchy of membership and burden sharing in a military alliance/
_cShlomo Weber, Y. Weber & H. Wiesmeth
260 _c2021
520 _aWe examine a military alliance with heterogeneous members that finances the production of the 'alliance good' (defense, deterrence, and peacekeeping) through its members' voluntary contributions. To examine the patterns of those contributions, we introduce a decision-making model with three layers of hierarchy: one 'super-leader', a group of 'leaders', and several 'followers', which takes into account different economic and historical backgrounds of member states. The asymmetric interaction between the members is reflected by the choice of Stackelberg paradigm where the sequence of countries' moves is determined by their alliance status. We then apply Penrose's Law to incorporate countries' heterogeneous population sizes in our model and show the existence of a unique Penrose-Stackelberg equilibrium. We apply our results to NATO and offer an empirical evaluation of burden sharing across the alliance by showing how economic characteristics, alliance 'awareness', and the alliance status explain the patterns of members' contributions. We also evaluate the optimal fit between the data and an appropriate choice of the alliance's hierarchical structure.
650 _aALLIANCES
650 _aPUBLIC GOODS
650 _aBURDEN SHARING
650 _aFREE RIDING
650 _aMULTI-TIER PENROSE-STACKELBERG EQUILIBRIUM
_xNATO
773 _aDefence and Peace Economics:
_gVol 32, No. 8, December 2021, pp.903-926
598 _aMILITARY, NATO
856 _uhttps://www.tandfonline.com/doi/full/10.1080/10242694.2020.1782584
_zClick here for full text
945 _i69115.1001
_rY
_sY
999 _c42210
_d42210