POL208Y1 Study Guide - Final Guide: Bretton Woods System, Economic Integration, Voluntary Export Restraints
Document Summary
The concept of guns vs. butter is a common metaphor for the national production possibility frontier. As societies, we can choose between two types of goods: guns (defense) and butter (civilian). For any amount of butter produced, we sacrifice a certain amount of guns, and vice versa. In ir we assume that both are necessary, so the real choice for societies is what the balance will be between the two. The metaphor becomes very important in wartime, because that is when the trade-off becomes most noticeable. For example, in wwii britain, families" water and food were rationed so that resources could be directed toward the war. Guns vs. butter is also useful in differentiating between economic liberalism, economic nationalism and marxism. Butter should be chosen over guns because cooperation between countries is boosted by increased trade and undermined by increased defense. For nationalists, there is no dilemma between guns and butter.
