Economic Statecraft systematically explores how states use economic means—such as sanctions, trade agreements, and aid—to influence the behavior of other international actors. Baldwin divides these tools into negative sanctions (punishments or threats) and positive incentives (rewards or promises), providing a clear structure for understanding the full range of economic instruments available to foreign policymakers. He integrates perspectives from economics, political science, psychology, history, law, and sociology, offering a multidimensional view of how economic statecraft operates and why it matters.

A key contribution of the book is its analytic framework for assessing the utility and effectiveness of economic statecraft. Baldwin argues that the success of economic measures should not be judged solely by whether the target acquiesces, but also by weighing the costs and benefits—financial, political, and reputational—against alternative strategies, such as military action. He also addresses the often gradual and diffuse effects of economic influence, emphasizing that changes in the costs of noncompliance can be as significant as direct policy shifts. The book further explores the ethical and legal dimensions of economic statecraft, situating it within the broader history of international relations thought.