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The economic costs and benefits of UK defence exports: a comment

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  • G. Sharp
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    Recent joint work by Professors Malcolm Chalmers and Keith Hartley and Messrs Neil V. Davies and Chris Wilkinson put the one-off cost to British GDP of a 50% fall in UK defence exports at up to £2-2.5 billion plus small ongoing losses of net government receipts. A view of typical British defence firms as discriminating monopolists suggests that British GDP might also suffer modest losses of economic rents on defence exports. These losses would persist so long as UK governments continue to procure specialized military equipment from national suppliers, and appear as worse terms of trade.

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    File URL: http://www.tandfonline.com/doi/abs/10.1080/1024269052000323551
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    Article provided by Taylor & Francis Journals in its journal Defence and Peace Economics.

    Volume (Year): 16 (2005)
    Issue (Month): 1 ()
    Pages: 59-66

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    Handle: RePEc:taf:defpea:v:16:y:2005:i:1:p:59-66
    DOI: 10.1080/1024269052000323551
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    1. Malcolm Chalmers & Neil V. Davies & Keith Hartley & Chris Wilkinson, 2002. "The economic costs and benefits of UK defence exports," Fiscal Studies, Institute for Fiscal Studies, vol. 23(3), pages 305-342, September.
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