Has Spain been free-riding in nato? An econometric approach†
This paper examines the possible free-riding behaviour followed by Spain since the country joined NATO in 1982. Using a joint product model, we specify a reduced-form equation for the Spanish demand for military expenditure during the period 1977-1997. Our empirical estimates suggest that Spain could have been free-riding on NATO during this period. A possible more specific free-rider behaviour by Spain in relation to some of its Mediterranean military allies (France, Italy and Portugal) is examined as well.
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Volume (Year): 12 (2001)
Issue (Month): 5 ()
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