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Military industrialization and economic development: Jordan's defense industry

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  • Amara, Jomana

Abstract

Jordan is a recent entrant to the domestic defense industry with the establishment of King Abdullah II Design and Development Bureau (KADDB) in 1999. The defense industrial initiative is intended to jumpstart industrialization across a range of sectors. With the Jordanian defense expenditures at 8.7% of GDP, the Jordanian authorities created the defense industry to utilize defense budget spending power and to assist in economic growth without placing additional demands on the national budget. This study examines Jordan's attempt to establish a defense industry and reviews its accomplishment. The study also compares the economic achievements of the defense industry to those of the Qualified Industrial Zone (QIZ), another major government facilitated economic development mechanism.

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  • Amara, Jomana, 2008. "Military industrialization and economic development: Jordan's defense industry," Review of Financial Economics, Elsevier, vol. 17(2), pages 130-145.
  • Handle: RePEc:eee:revfin:v:17:y:2008:i:2:p:130-145
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    1. Takayoshi Kusago & Tzannatos, Zafiris, 1998. "Export processing zones : a review in need of update," Social Protection and Labor Policy and Technical Notes 20046, The World Bank.
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    5. Brauer, Jurgen, 1991. "Military Investments and Economic Growth in Developing Nations," Economic Development and Cultural Change, University of Chicago Press, vol. 39(4), pages 373-384, July.
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    Cited by:

    1. Ali Matar & Hussain Ali Bekhet, 2015. "Causal Interaction among Electricity Consumption, Financial Development, Exports and Economic Growth in Jordan: Dynamic Simultaneous Equation Models," International Journal of Energy Economics and Policy, Econjournals, vol. 5(4), pages 955-967.
    2. Jeffrey B. Nugent & Abla M. Abdel-Latif, 2010. "A Quiz on the Net Benefits of Trade Creation and Trade Diversion in the QIZs of Jordan and Egypt," Working Papers 514, Economic Research Forum, revised 04 Jan 2010.

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