War Games: Economic Strategies and Game Theory in Global Conflict
- Paretrix
- Nov 21, 2024
- 9 min read
Updated: Dec 1, 2024

The economic analysis of war provides insight into why nations engage in conflicts, how resources are allocated during wartime, and the societal impacts of these decisions, including economic disruptions, shifts in labor and production, and changes in international trade dynamics. Game theory, cost-benefit analysis, and historical economic data are employed to derive conclusions about the motivations behind conflicts, the economic impact of resource allocation during war, and the long-term consequences for both warring and non-warring nations. By examining historical and contemporary wars through these theoretical lenses, we can better understand the incentives, strategic decisions, and economic repercussions that shape conflicts.
War is not just a confrontation of armies but a complex interplay of political ambitions, economic incentives, and strategic calculations. Understanding the game theory behind conflicts allows us to see the motivations and potential resolutions that often go unnoticed. In 2024, the world faces numerous geopolitical tensions—ranging from escalating territorial disputes in the South China Sea to emerging cyber warfare threats—that make it increasingly important to analyze war from both an economic and strategic perspective