The Defense-Growth Relationship: An Economic Investigation into Post-Soviet States
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Bruce D McDonald
An important question stemming from the collapse of the Soviet Union is how defense spending has influenced the economic performance of the 15 member states since their establishment as market economies. This study furthers the understanding of the relationship between defense spending and economic growth using data from the states of the former Soviet Union from 1992 to 2007. A nonlinear production function was used for direct effects, and models of investment and employment were employed for indirect effects. Contrary to expectations, the findings show that continued reliance on the defense sector in post-Soviet states has helped overall economic growth. Similarly, the growth effect of defense spending has remained nearly constant since the collapse of the Soviet Union.
©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston
Articles in the same Issue
- Research Paper
- Costly Interference: A Game Theoretic Analysis of Sanctions
- The Defense-Growth Relationship: An Economic Investigation into Post-Soviet States
- Super-Agents and the Problem of Controlling the Dynamics of Regional Arms Races
- War! What Is It Good For? A Deep Determinants Analysis of the Cost of Interstate Conflict
- External Threats and Military Intervention: The United States and the Caribbean Basin
- A Small Victorious War: Domestic Revolution and International Conflict
- Regime-Transitions in the 2003-2010 Iraq War: An Approach Based on Correlations of Daily Fatalities
- Letter
- International Relative Prices and Civil Wars in Africa: A Note
- Total Economic Consequences of Terrorist Attacks: Insights from 9/11
- Opportunity Costs and the Probability of War in an Incomplete Information Game (With Comments by Lloyd Jeff Dumas)
- A Comment on the Power Law Relation Between Frequency and Severity of Terrorist Attacks
- A Novel Explanation of the Power-Law Form of the Frequency of Severe Terrorist Events: Reply to Saperstein
- List of Referees 2010
Articles in the same Issue
- Research Paper
- Costly Interference: A Game Theoretic Analysis of Sanctions
- The Defense-Growth Relationship: An Economic Investigation into Post-Soviet States
- Super-Agents and the Problem of Controlling the Dynamics of Regional Arms Races
- War! What Is It Good For? A Deep Determinants Analysis of the Cost of Interstate Conflict
- External Threats and Military Intervention: The United States and the Caribbean Basin
- A Small Victorious War: Domestic Revolution and International Conflict
- Regime-Transitions in the 2003-2010 Iraq War: An Approach Based on Correlations of Daily Fatalities
- Letter
- International Relative Prices and Civil Wars in Africa: A Note
- Total Economic Consequences of Terrorist Attacks: Insights from 9/11
- Opportunity Costs and the Probability of War in an Incomplete Information Game (With Comments by Lloyd Jeff Dumas)
- A Comment on the Power Law Relation Between Frequency and Severity of Terrorist Attacks
- A Novel Explanation of the Power-Law Form of the Frequency of Severe Terrorist Events: Reply to Saperstein
- List of Referees 2010
