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This chapter develops new measures of American economic and security hierarchy using a Bayesian latent measurement model. It discusses the challenges in measuring hierarchy and the advantages of the latent variable approach. The chapter details the construction of the measures, incorporating various indicators such as trade dependence, foreign aid, alliances, and troop deployments. It validates the measures by examining their relationship with key outcomes and comparing them to existing data. The new measures provide a foundation for testing the book’s arguments.
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