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Simulated foreign policy exchanges: A formal theory of foreign policy interaction (part II)
Abstract:

This article presents the underlying rationale for a theory of foreign policy dynamics, and is the second part of a two‐part series which specifies a theoretical perspective for explaining the exchanges between nations. The task of the first paper was to discuss the substantive thrust of the research, and to give a view of the Monte Carlo simulation which lies at its core. The theory deals with the relevance of such concepts as reciprocity, uncertainty, third party effects, bureaucratic politics and domestic events for explaining foreign policy. This article provides the axioms which structure our theory and formal theorems that follow from these axioms.
Keywords:finance  globalization  liberalization  institutions  open‐economy
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