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Defense expenditure and economic growth

In: Handbook of Defense Economics

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Author Info
Ram, Rati
Abstract

This chapter reviews the empirical research on the relation between defense spending and economic growth. A broad flavor of the approaches adopted by different scholars is provided through a list of selected studies on the topic since 1973 and an outline of the variations over Benoit's original work that have been explored in the literature. A discussion of three major methodological issues is then undertaken. The following section summarizes the main substantive results reported in various studies, and another section contains some thoughts on the future research on the subject. The chapter ends with a few concluding and summarizing observations.

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This chapter was published in: Keith Hartley & Todd Sandler (ed.) Handbook of Defense Economics, , chapter 10, pages 251-274, 1995.

This item is provided by Elsevier in its series Handbook of Defense Economics with number 1-10.

Handle: RePEc:eee:hdechp:1-10

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Related research
This chapter was published in the following book, which is listed on IDEAS:
Keith Hartley & Todd Sandler (ed.), 1995. "Handbook of Defense Economics," Handbook of Defense Economics, Elsevier, edition 1, volume 1, number 1, September. [Downloadable!] (restricted)
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  1. Clarke, George, 2001. "How the quality of institutions affects technological deepening in developing countries," Policy Research Working Paper Series 2603, The World Bank. [Downloadable!]
  2. Jhy-yuan Shieh & Ching-chong Lai & Wen-Ya Chang, 2002. "Endogenous Growth and Defense Expenditures: A New Explanation of the Benoit Hypothesis," Defence and Peace Economics, Taylor and Francis Journals, vol. 13(3), pages 179-186, January. [Downloadable!] (restricted)
  3. Yousif Khalifa Al-Yousif, 2002. "Defense Spending and Economic Growth: Some Empirical Evidence from the Arab Gulf Region," Defence and Peace Economics, Taylor and Francis Journals, vol. 13(3), pages 187-197, January. [Downloadable!] (restricted)
  4. Alexamder, W.R. & Hansen, P. Author-Emai, 2004. "A Criritique of the Multi-Sector Model of the Effects of Military Spending on Economic Growth," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 4(2). [Downloadable!]
  5. Gerhard Reitschuler & Ludger J. Löning, 2004. "Modeling the Defense-Growth Nexus in a Post-Conflict Country - A Piecewise Linear Approach," Ibero America Institute for Econ. Research (IAI) Discussion Papers 097, Ibero-America Institute for Economic Research. [Downloadable!]
  6. Jurgen Brauer, 2002. "Survey and Review of the Defense Economics Literature on Greece and Turkey: What Have We Learned?," Defence and Peace Economics, Taylor and Francis Journals, vol. 13(2), pages 85-107, January. [Downloadable!] (restricted)
  7. Chad R. Wilkerson & Megan D. Williams, 2008. "How is the rise in national defense spending affecting the Tenth District economy?," Economic Review, Federal Reserve Bank of Kansas City, issue Q II, pages 49-79. [Downloadable!]
  8. Joshua Aizenman & Reuven Glick, 2003. "Military expenditure, threats, and growth," Working Papers in Applied Economic Theory 2003-08, Federal Reserve Bank of San Francisco. [Downloadable!]
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  9. Jesús Crespo Guaresma & Gerhard Reitschuler, 2003. ""Guns or Butter?" Revisited: Robustness and Nonlinearity Issues in the Defense-Grotwth Nexus," Vienna Economics Papers 0310, University of Vienna, Department of Economics. [Downloadable!]
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  10. J. Paul Dunne & Ron Smith & Dirk Willenbockel, 2005. "Models Of Military Expenditure And Growth: A Critical Review," Defence and Peace Economics, Taylor and Francis Journals, vol. 16(6), pages 449-461, December. [Downloadable!] (restricted)
    Other versions:
  11. Tilman Brück, 2004. "An Economic Analysis of Security Policies," Discussion Papers of DIW Berlin 456, DIW Berlin, German Institute for Economic Research. [Downloadable!]
    Other versions:
  12. Katarina Keller & Panu Poutvaara & Andreas Wagener, 2006. "Military Draft and Economic Growth in OECD Countries," IZA Discussion Papers 2022, Institute for the Study of Labor (IZA). [Downloadable!]
  13. Stergios Skaperdas, 2009. "The Costs of Organized Violence: A Review of the Evidence," Working Papers 080924, University of California-Irvine, Department of Economics. [Downloadable!]
    Other versions:
  14. Chu, Angus C. & Lai, Ching-Chong, 2009. "Defense R&D: Effects on Economic Growth and Social Welfare," MPRA Paper 16325, University Library of Munich, Germany. [Downloadable!]
  15. Paul Dunne & Duncan Watson, 2005. "Manufacturing Growth, Technological Progress, and Military Expenditure," Discussion Papers 0511, University of the West of England, Department of Economics. [Downloadable!]
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