Country survey XIX: Mexico
This paper presents a survey of Mexican military expenditure (ME), which assesses the role of ME in Mexican economic growth. After presenting a description of the armed forces, Mexican military policy and the Mexico-US military relationship, this paper outlines a demand-supply model to analyse the effects of ME on growth. The empirical results suggest interesting insights on the ME-growth relationship for the Mexican case. These results present evidence against the crowding-out hypothesis of ME on growth. For the Mexican case, ME produces a positive effect on growth.
Volume (Year): 15 (2004)
Issue (Month): 1 (February)
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