The economic costs of the German participation in the Afghanistan war
In this article, we estimate the total costs of the German participation in the Afghanistan war, both past and future. This is a hugely complex and uncertain calculation, which depends on several important assumptions. These assumptions pertain to the different cost channels and the shares of these channels that can be attributed to the German participation in the war. By calculating the costs of the German participation, we provide a framework for other researchers to do the same with respect to other countries. The article can function as a roadmap for researchers focusing on this topic. In the end we find that, in the most realistic of several possible scenarios regarding the duration and intensity of the German participation in the war in Afghanistan, the German share of the net present value of the total costs of the war ranges from 26 billion Euro to 47 billion Euro. This large range reflects the uncertainties with which the costs must be estimated. On an annual basis, we estimate that the German participation in the war costs between 2.5 and 3 billion Euro. This contrasts with the official war budget, which is little over 1 billion Euro for 2010, showing that governments may not adequately represent the costs of military action.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Brück, Tilman & Xu, Guo, 2012.
"Who gives aid to whom and when? Aid accelerations, shocks and policies,"
European Journal of Political Economy,
Elsevier, vol. 28(4), pages 593-606.
- Tilman Brück & Guo Xu, 2011. "Who Gives Aid to Whom and When?: Aid Accelerations, Shocks and Policies," Economics of Security Working Paper Series 49, DIW Berlin, German Institute for Economic Research.
- Tilman Brück & Guo Xu, 2011. "Who Gives Aid to Whom and When?: Aid Accelerations, Shocks and Policies," Discussion Papers of DIW Berlin 1133, DIW Berlin, German Institute for Economic Research.
- Russell Smyth & Paresh Kumar Narayan, 2009. "A Panel Data Analysis of the Military Expenditure-External Debt Nexus: Evidence from Six Middle Eastern Countries," Journal of Peace Research, Peace Research Institute Oslo, vol. 46(2), pages 235-250, March.
- William D. Nordhaus, 2002. "The Economic Consequences of a War with Iraq," Cowles Foundation Discussion Papers 1387, Cowles Foundation for Research in Economics, Yale University.
- Eric S. Lin & Hamid E. Ali, 2009. "Military Spending and Inequality: Panel Granger Causality Test," Journal of Peace Research, Peace Research Institute Oslo, vol. 46(5), pages 671-685, September.
- Lin, Eric S. & Ali, Hamid E., 2009. "Military Spending and Inequality: Panel Granger Causality Test," MPRA Paper 40159, University Library of Munich, Germany.
- William D. Nordhaus, 2002. "The Economic Consequences of a War in Iraq," NBER Working Papers 9361, National Bureau of Economic Research, Inc.
- Michael Brzoska, 1981. "The Reporting of Military Expenditures," Journal of Peace Research, Peace Research Institute Oslo, vol. 18(3), pages 261-275, September.
- J. Paul Dunne & Ron Smith & Dirk Willenbockel, 2005. "Models Of Military Expenditure And Growth: A Critical Review," Defence and Peace Economics, Taylor & Francis Journals, vol. 16(6), pages 449-461.
- J Paul Dunne & Ron Smith & Dirk Willenbockel, 2004. "Models of Military Expenditure and Growth: A Critical Review," Working Papers 0408, Department of Accounting, Economics and Finance, Bristol Business School, University of the West of England, Bristol.
- Linda Bilmes & Joseph E. Stiglitz, 2006. "The Economic Costs of the Iraq War: An Appraisal Three Years After the Beginning of the Conflict," Working Papers id:387, eSocialSciences.
- Linda Bilmes & Joseph Stiglitz, 2006. "The Economic Costs of the Iraq War: An Appraisal Three Years After the Beginning of the Conflict," NBER Working Papers 12054, National Bureau of Economic Research, Inc.
- Bilmes, Linda & Stiglitz, Joseph E., 2006. "The Economic Costs of the Iraq War: An Appraisal Three Years after the Beginning of the Conflict," Working Paper Series rwp06-002, Harvard University, John F. Kennedy School of Government.
- Paul Dunne & Sam Perlo-Freeman, 2003. "The Demand for Military Spending in Developing Countries," International Review of Applied Economics, Taylor & Francis Journals, vol. 17(1), pages 23-48.
- J. Paul Dunne & Sam Perlo-Freeman, 2003. "The demand for military spending in developing countries: A dynamic panel analysis," Defence and Peace Economics, Taylor & Francis Journals, vol. 14(6), pages 461-474.
- Jurgen Brauer, 2007. "Data, Models, Coefficients: The Case of United States Military Expenditure," Conflict Management and Peace Science, Peace Science Society (International), vol. 24(1), pages 55-64, February.
- Ryan D. Edwards, 2010. "A Review of War Costs in Iraq and Afghanistan," NBER Working Papers 16163, National Bureau of Economic Research, Inc.
- Garcia-Mila, Teresa, 1989. "Some empirical evidence on government purchase multipliers," Economics Letters, Elsevier, vol. 31(4), pages 375-380, December.
- Syed Mansoob Murshed & Dawood Mamoon, 2010. "Not loving thy neighbour as thyself: Trade, democracy and military expenditure explanations underlying Indiaâ€”Pakistan rivalry," Journal of Peace Research, Peace Research Institute Oslo, vol. 47(4), pages 463-476, July. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:sae:joupea:v:48:y:2011:i:6:p:793-805. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.