Recent work on alliances, notably Walt (1987, 1988), emphasizes that s
tates form alliances to balance against threats. In this article, I co
nstruct a constrained optimization model to demonstrate that a mix of
arms and alliance is a better characterization of states' security pol
icies. States choose the mix according to the relative costs associate
d with each approach, as well as the level of their allies' military c
apabilities. I test the predictions of the model using econometric ana
lysis of data on France and Austria prior to World War I and Israel an
d Syria in the contemporary period. The empirical results illustrate s
tates' tendencies to rely on their allies' arms when allied support is
relatively cheap and their allies are militarily strong; whereas they
tend to rely on their own capabilities when allied support is relativ
ely costly and their allies are militarily weak.