Abstract
Why did the League of Nations ultimately fail to achieve widespread disarmament, its most fundamental goal? This article shows that the failure of the League of Nations had two important dimensions: (1) the failure to provide adequate security guarantees for its members (like an alliance); (2) the failure of this organization to achieve the disarmament goals it set out in the 1920s and 1930s. Thus, it was doomed from the outset to fail, due to built-in institutional contradictions. It can also be modeled and analyzed as a potential military alliance. The results are fairly conclusive: The League of Nations did not function as a pure public-good alliance, which encouraged an arms race in the 1930s.
Similar content being viewed by others
Notes
For a more complete archival analysis of the negotiations and the players involved, as well as a deeper discussion of the data and sources, see Eloranta (2002b).
Cf. The League of Nations Starts 1920, Appendix I (containing the 1919 Covenant) and Northedge (1986), Appendix A (containing the 1938 amended Covenant). Many of the amendments dealt with changes in the administrative structure of the League.
See The League of Nations Starts 1920, 26; Appendix I.
The League of Nations Starts 1920, Appendix I, Article 8.
The League of Nations Starts 1920, 137–138. See also the later Temporary Mixed Commission for the Reduction of Armaments, e.g. its report in League of Nations, Assembly Documents, A. 35. 1923. IX (Part 1): August 30.
The League of Nations Starts 1920, Appendix I, Article 11.
The League of Nations Starts 1920, Appendix I, Article 16.
The League of Nations Starts 1920, Appendix I, Article 17.
The League of Nations Starts 1920, Appendix I, Article 23.
See e.g. League of Nations, A. 13. 1921. IX: August 22. Reduction of National Expenditure on Armaments. Including replies from 26 governments; League of Nations, C. 90. M. 40. 1921. IX: June 7. Reduction of National Expenditure of Armaments. Including replies from 16 governments.
See e.g. League of Nations, A. 51. 1931. IX: September 11. Reduction of Armaments; League of Nations, C. 774. M. 369. 1931. IX: October 29. Voluntary Armaments Truce (Czechoslovakia’s positive reply); League of Nations, C. 627. M. 309. 1932. IX: September 5. Voluntary Armaments Truce. Replies from 6 governments (concerning the extension of the armaments truce). See also Jones (1939), 244–246.
See especially Northedge (1986), Chap. 10.
Includes: Austria, Belgium, Denmark, Finland, France, Germany, Italy, Japan, the Netherlands, Norway, Portugal, Russia/USSR, Spain, Sweden, Switzerland, the UK, and the USA.
Modelski and Thompson also use somewhat scattered estimates of the Great Power naval spending to calculate world leadership shares as well as other variables. Their study is, in particular, to be commended due to its detailed explanations on the sources used and the weaknesses of the estimates. See Modelski and Thompson (1988), e.g. 38–48. Here I have chosen to define a battleship as a military capital ship other than an aircraft carrier with a tonnage of at least 15,000 tons. On concepts and theoretical challenges, see especially Modelski and Thompson (1996).
When compared to the 17 states used in the previous section. However, some of the econometric calculations use a larger sample, clearly indicated, when the data is available.
See Sandler and Hartley (1995), 74–76, which also presents the ordinal version of this game.
On the comparison between the pre-war arbitration movement and the more extensive League of Nations, see Egerton (1974).
This was hardly a unanimous view held by British officials, especially those serving in the League of Nations. See Towle (1993).
Spearman R assumes that the variables under consideration were measured on at least an ordinal (rank order) scale, that is, that the individual observations can be ranked into two ordered series. It is a nonparametric test, which is well suited for the analysis of small samples in particular. The null hypothesis is a zero coefficient.
See Sandler and Hartley (1999), 44 and the studies listed therein. Some years in the 1980s did produce a similar pure public good impact as the yearly years of the NATO.
Utilizing the modified GDP data available from Eloranta (2002b).
This procedure assumes that the variables under consideration were measured on a scale that allows the rank ordering of observations based on each and that allows rank ordering of the differences between variables; i.e., it is a nonparametric test like the Spearman rank correlation test. The null hypothesis is that the two samples have the same median.
Thus, essentially this tests for the responsiveness to a common price variable. Details on this series can be found in (Eloranta 2002a).
Given that N > T in this samples, one should use PCSEs (Panel Corrected Standard Errors) to avoid overconfidence in the parameter estimates. See especially (Beck and Katz 1995) for details. In addition, see (Beck 2001). All the panels are unbalanced panels, which should not have an impact on the analysis given that the missing variables were not due to a sampling bias.
References
Autio J (1992) Valuuttakurssit Suomessa 1864–1991. Katsaus ja tilastosarjat. In: Suomen Pankin keskustelualoitteita 1. Suomen Pankki, Helsinki
Barros J (1993) The League of Nations and disarmament. In: Burns RD (ed) Encyclopedia of arms control and disarmament. Charles Scribner’s Sons, New York
Batista D, Martins C, Pinheiro M, Reis J (1997) New estimates for Portugal’s GDP 1910–1958. Banco de Portugal, Lisboa
Beck N (2001) Time-series—cross-section data: what have we learned in the past few years? Annu Rev Political Sci 4:271–293
Beck N, Katz JN (1995) What to do (and not to do) with time-series cross-section data. Am Political Sci Rev 89(3):634–647
Bemis SF (1959) A short history of American foreign policy and diplomacy. Holt, New York
Buyst E (1997) New GNP estimates for the Belgian economy during the interwar period. Rev Income Wealth 43(3):357–375
Carreras A, Barciela C et al (1989) Estadísticas Históricas De España: Siglos Xix-Xx. Coordinación De Albert Carreras Colección Investigaciones. Fundación Banco Exterior, Madrid
Central Bureau voor de Statistiek (1899—1979) Tachtig Jaren Statistiek in Tijdreeksen 1979. Staatsuitgeverij, ‘s-gravenhage
Clement P (2000) Government consumption and investment in Belgium: 1830–1940: the reconstruction of a database. Leuven University Press, Leuven
Cornes R, Sandler T (1996) The theory of externalities, public goods, and club goods. Cambridge University Press, Cambridge
den Bakker GP, Huitker TA, van Bochove CA (1990) The Dutch economy 1921–1938: revised macroeconomic data for the interwar period. Rev Income Wealth 36(2):187–206
Egerton GW (1974) The Lloyd George Government and the creation of the League of Nations. Am Hist Rev 79(2):419–444
Eloranta J (2002a) European states in the international arms trade, 1920–1937: the impact of external threats, market forces, and domestic constraints. Scand Econ His Rev 50(1):44–67
Eloranta J (2002b) External Security by domestic choices: military spending as an impure public good among eleven European States, 1920–1938. Dissertation, Department of History and Civilisation, European University Institute, Florence, Italy
Eloranta J (2003) National defense. In: Mokyr J (ed) The oxford encyclopedia of economic history. The Oxford University Press, Oxford
Eloranta J (2007) From the great illusion to the Great War: military spending behaviour of the Great Powers, 1870–1913. Eur Rev Econ Hist II(August):255–283
Frankenstein R (1982) Le prix du réarmement français 1935–1939. Paris
Global Financial Data (2000) Global Financial Data (online)
Hicks JD (1960) Republican ascendancy, 1921–1933. Harper, New York
Historisk Statistikk (1978) Norges Offisielle Statistikk XII 291. Statistisk Sentralbyrá, Oslo
Hjerppe R (1988) Suomen talous 1860–1985. Kasvu ja rakennemuutos. vol XIII, Suomen Pankki
Johansen HC (1985) Dansk historisk statistik 1814–1980. Danmarks historie, bind 9. Gyldendal, Copenhagen
Jones SS (1939) The Scandinavian states and the League of Nations. Princeton University Press; American Scandinavian foundation, Princeton; New York
Kennedy P (1989) The rise and fall of the great powers. Economic change and military conflict from 1500 to 2000. Fontana, London
Krantz O (1987) Offentlig Verksamhet 1800–1980. Ekonomisk-historiska föreningen, Lund
Maddison A (1995) Monitoring the world economy 1820–1992. OECD, Paris
Mitchell BR (1998) International historical statistics: Europe 1750–1993, 4th edn. Macmillan Academic and Professional, Basingstoke
Modelski G, Thompson WR (1988) Seapower in global politics, 1494–1993. Macmillan Press, Houndmills
Modelski G, Thompson WR (1996) Leading sectors and world powers: the coevolution of global politics and economics. University of South Carolina Press, Columbia
Murdoch JC, Sandler T (1986) The political economy of Scandinavian neutrality. Scand J Econ 88(4):583–603
Murray W (1984) The change in the European balance of power, 1938–1939: the path to ruin. Princeton University Press, Princeton
Northedge FS (1986) The League of Nations: its life and times, 1920–1946. Leicester University Press, Leicester
Olson M, Zeckhauser R (1966) An economic theory of alliances. Rev Econ Stat 48(3):266–279
Pearton M (1982) The knowledgeable state: diplomacy, war, and technology since 1830. Burnett Books, London Distributed by Hutchinson
Peterson NH (1993) The versailles treaty—imposed disarmament. In: Burns RD (ed) Encyclopedia of arms control and disarmament. Charles Scribner’s Sons, New York
Prados de la Escosura L (2000) International comparisons of real product, 1820–1990: an alternative data set. Explor Econ Hist 37(1):1–41
Ritzmann-Blickenstorfer H (ed) (1996) Historische Statistik der Schweiz. In: Siegenthaler H (ed) Chronos-Verlag, Zürich
Rosecrance R, Stein AA (1993) Beyond realism: the study of grand strategy. In: Rosecrance R, Stein AA (eds) The domestic bases of grand strategy. Cornell University Press, Ithaca
Rosecrance R, Steiner Z (1993) British grand strategy and the origins of World War II. In: Rosecrance R, Stein AA (eds) The domestic bases of grand strategy. Cornell University Press, Ithaca
Russett BM (1971) An empirical typology of international military alliances. Midwest J Political Sci 15(2):262–289
Sandler T, Hartley K (1995) The economics of defense. In: M Perlman (ed) Cambridge University Press, Cambridge
Sandler T, Murdoch JC (1990) Nash-cournot or lindahl behavior?: an empirical test for the nato allies. Quart J Econ 105(4):875–894
Schneider J, Schwarzer O, Zellfelder F, Denzel MA (1991) Währungen der Welt I. Europäische und nordamerikanische Devisenkurse (1777–1914), teilband II. Beiträge zur wirtschafts- und sozialgeschichte, band 44, II. Stuttgart, In Kommission bei F. Steiner
Schneider J, Schweitzer O, Denzel MA (1997) Währungen der Welt II. Europäische und nordamerikanische Devisenkurse (1914–1951). Beiträge zur wirtschafts- und sozialgeschichte, band 45. Stuttgart, In Kommission bei F. Steiner
Scott G (1973) The rise and fall of the League of Nations. Hutchinson, London
Sefton J, Weale M (1995) Reconciliation of national income and expenditure: balanced estimates of national income for the United Kingdom, 1920–1990. Cambridge University Press, Cambridge
Singer JD, Small M (1993) National material capabilities Data, 1816–1985 [Ann Arbor, MI: Inter-university consortium for political and social research (distributor)]. Ann Arbor, MI: J. David Singer, University of Michigan, and Detroit, MI: Melvin Small, Wayne State University [producers]
Steiner Z (1993) The League of Nations and the quest for security. In: Ahmann R, Birke AM, Howard M (eds) The quest for stability. Problems of West European security 1918–1957. Oxford University Press, Oxford
Stromberg RN (1956) The idea of collective security. J Hist Ideas 17(2):250–263
Tervasmäki V (1964) Eduskuntaryhmät ja maanpuolustus (valtiopäivillä 1917–1939). Länsi-Savon Kirjapaino, Mikkeli
The League of Nations Starts (1920) An outline by its organisers. Macmillan, London
Todd S, Hartley K (1999) The political economy of NATO. Past, present, and into the 21st century. Cambridge University Press, New York
Towle P (1993) British security and disarmament policy in Europe in the 1920s. In: Ahmann R, Birke AM, Howard M (eds) The quest for stability. Problems of West European security 1918–1957. Oxford University Press, Oxford
Vaïsse M (1993) Security and disarmament: Problems in the development of the disarmament debates 1919–1934. In: Ahmann R, Birke AM, Howard M (eds) The quest for stability. Problems of West European security 1918–1957. Oxford University Press, Oxford
Valério N (1994) As Finanças Públicas Portuguesas Entre as Duas Guerras Mundiais Portugal E O Mundo Português. Edições Cosmos, Lisboa
Vogler A (1965) Die Schweizerischen Militarausgaben von 1850–1963 und ihre Auswirkungen auf die wirtschaftliche Entwicklung der Schweiz, Sciences economiques et sociales, Fribourg/S
Author information
Authors and Affiliations
Corresponding author
Appendices
Data appendix
1.1 Common data (1920–1938)
Data on how the 17-country system was calculated, what variables were used, and how the quasi-USD values for the individual country series were arrived at, as well as details on the data solutions for those countries other than the 11 European nations mostly used here (the actual quantitative data available from the author by request), can be found in Eloranta (2002b, 2007). Exchange rates used in various conversions from Global Financial Data (2000) (only partially for France, Germany, the UK, the USA), otherwise from Schneider et al. (1991, 1997) and Autio (1992). Data on battleships as well as nominal and depreciated tonnages were found in Modelski–Thompson (1988), complemented with data from the League of Nations (1924–1940), Armaments Year-Books and League of Nations (1923), Statistical Enquiry into National Peace-time Armaments. A.20. IX. Definitions of military expenditures can be found in Eloranta (2002b). The real European unit price of arms and armaments was taken from Eloranta (2002a).
Country-specific data: 11 European nations (1920–1938)
2.1 Belgium
Nominal ME from Clement (2000). Nominal GDP from Buyst (1997). Real GDP from Maddison (1995), adjusted according to 1929 indirect PPP-level differences calculated in Prados de la Escosura (2000). Total population from Maddison (1995). Nominal CGE from Clement (2000). Regarding price data, WPI (year 1920 missing) and CPI from Mitchell (1998), combined with equal weighting (for 1920 only CPI taken) to come up with a deflator for ME. Nominal ME was then converted to 1929 prices and adjusted with the indirect PPP converters found in Prados de la Escosura (2000) and the exchange rates mentioned earlier to come up with real ME in 1929 (quasi)-USD.
2.2 Denmark
Nominal ME and GDP from Johansen (1985). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Johansen (1985). Danish WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.3 Finland
Nominal ME from Tervasmäki (1964). Nominal GDP from Hjerppe (1988). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE obtained from Mitchell (1998). Finnish WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.4 France
Nominal ME from Frankenstein (1982). Nominal GDP from Mitchell (1998). Real GDP from Maddison (1995), adjusted as in the Belgian case. Total population from Maddison (1995). Nominal CGE from Mitchell (1998). French WPI from Mitchell (1998) and French CPI from Global Financial Data (2000), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.5 The Netherlands
Nominal ME from Central Bureau voor de Statistiek (1979). Nominal GDP from Bakker et al. (1990) (1920 figure is nominal NNP from Central Bureau voor de Statistiek (1979) raised by 8.4 percent). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Mitchell (1998). Dutch WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.6 Norway
Nominal ME and GDP from Historisk Statistikk (1978). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Historisk Statistikk (1978). Norwegian WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.7 Portugal
Nominal ME and CGE from Valério (1994). Nominal GDP from Batista et al. (1997). Real GDP from Batista et al. (1997), adjusted as in the case of Belgium. Total population from Maddison (1995). Regarding price data, Portuguese WPI taken from Valério (1994) and Portuguese CPI for 1929–1938 from Mitchell (1998), combined with equal weighting (only WPI for 1920–1928) to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.8 Spain
Nominal ME for 1920–1935 from Carreras et al. (1989) and for 1936–1938 taken from Singer–Small (1993) (converted using the exchange rates described earlier). Nominal GDP from Prados de la Escosura (2000). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Carreras et al. (1989). The Spanish WPI and CPI both taken from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.9 Sweden
Nominal ME and GDP from Krantz (1987). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE calculated as explained in Eloranta (2002b). Swedish WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.10 Switzerland
Nominal ME from Vogler (1965). Nominal GDP from Ritzmann-Blickenstorfer-David (1996). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Mitchell (1998). Swiss WPI and CPI from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
2.11 The United Kingdom
Nominal ME from Sefton–Weale (1995). Nominal GDP from Sefton–Weale (1995). Real GDP from Maddison (1995), adjusted as in the case of Belgium. Total population from Maddison (1995). Nominal CGE from Mitchell (1998). British WPI and CPI both from Mitchell (1998), combined with equal weighting to come up with a deflator for ME. Real ME derived as in the case of Belgium.
Rights and permissions
About this article
Cite this article
Eloranta, J. Why did the League of Nations fail?. Cliometrica 5, 27–52 (2011). https://doi.org/10.1007/s11698-010-0049-9
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11698-010-0049-9