Recent developments in arms races and their theoretical analysis are treated, including the changing nature of arms races and their impacts on arms expenditure and international stability. The dominant East-West arms race of the Cold War has ended, but arms races still exist, and it is likely...

Considered here is an arms race in which weapons production exhibits increasing returns to scale technology that stems from the increasing importance of information, electronics, computers, software, etc. in modern weapons systems. Just as in general equilibrium theory, increasing returns to...