Read the given passage and answer the five questions that follow 

The relationship between democracy and peace could be a product of the fact that both democracy and peace share a common cause. What could this common cause be? One possibility is economic development. There is a strong tendency for democracy to emerge and survive in states that are relatively wealthy; in poorer countries by contrast, democratic institutions are more likely to break down. While there is no general tendency for wealth alone to promote peace between countries, there is evidence consistent with a 'capitalist peace' among countries with free-market economies.

Another possibility is that peace causes democracy - that democracy is more likely to emerge in regions where countries already have peaceful relations with one another. A menacing international environment and threats to the state's territory tend to empower the central government and the military, making it hard for democracy to take root.

Thus, democracy is more likely to emerge after states have settled outstanding rivalries and territorial disputes with their neighbours. If so, then it is peaceful borders that make democracies, not vice-versa. Finally, it has been argued that democratic peace is really a product of shared strategic interests among democratic states that have nothing to do with their democratic institutions. From the late nineteenth century onwards, the main democratic countries were united against common threats. Such common interests reduced the opportunities for conflict between democratic states. It also provided a strong incentive to resolve peacefully conflicts that did arise.