  This paper introduces the concept of rational countefactuals which is an idea
of identifying a counterfactual from the factual (whether perceived or real)
that maximizes the attainment of the desired consequent. In counterfactual
thinking if we have a factual statement like: Saddam Hussein invaded Kuwait and
consequently George Bush declared war on Iraq then its counterfactuals is: If
Saddam Hussein did not invade Kuwait then George Bush would not have declared
war on Iraq. The theory of rational counterfactuals is applied to identify the
antecedent that gives the desired consequent necessary for rational decision
making. The rational countefactual theory is applied to identify the values of
variables Allies, Contingency, Distance, Major Power, Capability, Democracy, as
well as Economic Interdependency that gives the desired consequent Peace.
