nope; standard Ricardian argument from comparative advantage.  Israel finds
it cheap to produce Arab hostages but cannot produce Israeli hostages at
all.  Hizbollah can't produce Arab hostages and can only produce Israeli
hostages at very high cost.  Therefore, the terms of trade suggest an
exchange rate under which Israeli hostages are very expensive (because they
are produced by the scarce factor of production ie terrorists) but Arab
hostages are very cheap (because they are produced by the IDF which is not a
scarce factor of production).

The frightening thing is that I could easily produce a version of this
argument with graphs and charts to illustrate my point.  The terrifying
thing is that a political sociology journal would probably publish it.

best
dd

-----Original Message-----


If the imbalance of military power favors the Israelis, why do the Israelis
have to give up so many more prisoners than what they receive in exchange?
Should it not be the opposite if military power determines the terms of the
trade?

David Shemano

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