The Effectiveness of International Economic Sanctions in Resolving Crises: A Comparative Statistical Study

Abstract

In this study, international economic sanctions are analyzed for their feasibility in resolving political and financial difficulties via the cases of Iran and North Korea. These are state parties that undergo heavy economic sanctions enforced predominantly by US-EU-UN consolidated efforts. Due to their similar situations and differences, such countries are interesting to study. With the help of a series of statistical models, linear regression analysis in particular, this study investigates economic determinants such as GDP, inflation, trade balance, and others before and after such measures were taken. It also examines the sociopolitical consequences of sanctions as well as the sustainability of the regimes under such sanctions. The results of this study show that sanctions cause great destruction of economies, but little destruction results in positive changes in political systems, except in cases where external forces and dictatorships are absent. Considerable attention has not been devoted to the factors that determine the outcome of the steps taken to bring about political changes through political or economic sanctions from the side of the international community.