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Gambling on War: Confidence, Fear, and the Tragedy of the First World War

By Roger L. Ransom
eBook
$37.00
By Roger L. Ransom
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The First World War left a legacy of chaos that is still with us a century later. Why did European leaders resort to war and why did they not end it sooner? Roger L. Ransom sheds new light on this enduring puzzle by employing insights from prospect theory and notions of risk and uncertainty. He reveals how the interplay of confidence, fear, and a propensity to gamble encouraged aggressive behavior by leaders who pursued risky military strategies in hopes of winning the war. The result was a...

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BusinessEconomicsEconomic Theory & Schools of ThoughtHistory of Economics