The Political Economy of War and Peace examines the conflict dynamics in interstate relations among competing powers generated by differentials in growth of population, resource access, and levels of technology (Ashley 1980). Focusing on three major powers during the post World War II decades, the United States, the Soviet Union, and China, it demonstrates the close interconnections among national growth, bilateral rivalry, and multilateral balance of power. The study shows how the dynamics of insecurity and the antagonizing processes contribute to the globalization of military competition which, in turn, creates serious impediments to the collective management of many dimensions of growth itself. Despite changes in world politics since 1914, and the dynamics modeled in "Nations in Conflict", some fundamental features of lateral pressure retain powerful resonance during the post World War II war period. This general observation is then followed by careful model development, empirical grounding and parameter estimation as well as simulation of sensitivity analysis. The focus in this case is the overall security problematic on a worldwide basis.