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The idea behind "market deterrence" is that financial markets will punish countries for military adventurism, and this can deter aggression.
The fourth, which he describes as "market deterrence", is also interesting and relevant, but I think there are a couple of wrinkles that didn't make it into Mr Cowen's piece.
"Market deterrence" may simply be too slow and unwieldy to influence Russian leaders' decisions.A game-theory approach to the Ukraine conflict needs to recognise that America, the EU and Russia are not quite symmetrical players who understand the terms "winning" and "losing" in the same fashion.
Cowen went on to show how the current conflict could be viewed in terms several notions of game theory described by Nobel laureate Thomas C. Schelling and others: "nuclear deterrence," "tipping points," "market deterrence" and "credibility and consequences".
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Consistent with theoretical insights, our experiments suggest that high permit violation penalties have little deterrence value in dynamic emissions markets, and that the main challenge of enforcing these programs is to motivate truthful self-reports of emissions.
For those Manusians who had long dreamed of capitalising on their military, environmental and cultural treasures to build a tourism market, their island's portrayal in the Australian deterrence campaign as a "hellhole" has been galling.
Mario Draghi, the European Central Bank president, seemed to borrow from the Cold War lexicon of deterrence in July when he told financial markets that the E.C.B. would do "whatever it takes to preserve the euro.
The sentencing of Mr. Rajaratnam can almost be seen as a referendum on how insider trading should be viewed: a lighter sentence means that it is not a crime that causes significant social harm because its impact is dissipated, while a heavier sentence sends a message of deterrence in order to maintain the integrity of the markets.
To make the challenge to deterrence even more stark, a suicide bomber who blows up a market or a funeral gathering in Iraq or Afghanistan is willing to kill innocent bystanders, including fellow Muslims.
The opinions emphasize the need for deterrence as a means to preserve the integrity of the financial markets by making it very costly to trade on inside information.
"It shows we have enough material to maintain our low-level nuclear deterrence and so much in surplus that we can sell it in the open market.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com