The defense industrial base
In: Handbook of Defense Economics
This chapter provides a survey of research on the defense industrial base (DIB) focusing on the advanced industrial capitalist economies. It starts by looking at the problems of definition and measurement and how these have been dealt with in practice. This is followed by an overview of the nature of the defense equipment market and the concept of the military industrial complex. An analysis of the evolution and the structure of the DIB is then presented and the evidence on the efficiency of the DIB and its economic effects are reviewed. Finally, the restructuring of the DIB that has taken place since the end of the Cold War and the likely future developments are discussed.
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