ABSTRACT
This chapter provides an overview of the policy issues. North Atlantic Treaty Organization (NATO), for example, will have various policy objectives, some of which are in conflict, requiring choices to be made between competing aims. Defence is a classic example of choices. Consider the set of choices which are being made continuously by member states of NATO. NATO is a voluntary association of independent states and not a supranational organisation. Defence policy is formulated and decisions are made in the political market place of voters, politicians, bureaucracies and interest groups of producers and consumers. Military effectiveness would increase if NATO forces used identical weapons and equipment, with a common spares and support system. But any evaluation of NATO weapons standardisation policy has to start with some unambiguous definitions and a clear statement of the policy problem. Two-way streets can be viewed as methods of improving the operation of the NATO arms market.
