Journal of Economic Literature

Book Reviews

2026-08-28

Barry O'Neill of University of California, Los Angeles reviews “Trust and Mistrust in International Relations” by Andrew H. Kydd,. The EconLit Abstract of the reviewed work begins “Uses game theory to investigate the role of trust and mistrust in international relations and the Cold War. Presents a model of trust in the context of the security dilemma. Examines the spiral model, which illustrates how trust can be eroded by competitive behavior. Studies the beginning of the Cold War and the increasing distrust between the United States and the Soviet Union as an instance of this phenomenon. Examines trust and cooperation under hegemony; presents a trust game involving multiple actors, which may have different interests, geographical situations, and relative capabilities; and applies the model to study post-World War II European cooperation between the United States, Germany, and the rest of Europe. Presents a model of reassurance via costly signals in which states can reassure each other by running risks of exploitation by the other side. Analyzes the end of the Cold War in these terms, focusing on the process of reassurance that took place between East and West, as Mikhail Gorbachev tried to reassure the West that the Soviet Union had changed from an expansionist state to a security seeker. Kydd is Associate Professor of Government at Harvard University. Bibliography; index.”

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DOI https://doi.org/10.1257/jel.45.3.742.r6