The Political Economy of War
(Last modified 2000)
In analyzing the history of economic cycles in the USA, one is repeatedly struck by the direct correlation between war and economic stability. In view of this observation, is all the more surprising that, to date, this phenomenon has to a large extent been neglected by research in the field of economic history. There is no lack of studies on the post-1945 "military-industrial complex", but a systematic review of the relationship between economics and war throughout the twentieth century has yet to be written. Based on the hypothesis that the preparation and conduct of wars has been an significant factor in unifying what is and was an otherwise highly fragmented economy, this study aims to discuss some of the most decisive trends and turning points in economic policy in the USA since the "stagflation" of 1911.
(the project will be continued outside of the Institute)