scholarly journals Military expenditure and economic growth: A survey

Author(s):  
J. Paul Dunne ◽  
Nan Tian

Until recently, a long-standing, impressively large, and growing literature on the effects of military expenditure on economic growth appeared to have failed to result in a scholarly consensus. But the availability of 20 more years of data since the thawing of the cold war has helped researchers to make progress in identifying any relation of military expenditure with economic factors. The literature is complex and difficult to summarize, with studies differing in their theoretical approach, in the empirical methods used, in the coverage of countries and time periods employed, and in their quality and statistical significance. This article extends and updates an earlier survey, now covering almost 170 studies. It finds that more recent studies provide stronger evidence of a negative effect of military expenditure on economic growth.

Author(s):  
Oasis Kodila-Tedika ◽  
Sherif Khalifa

Abstract This paper examines the effect of the presence of a military ruler on military expenditure using a panel of sub-Saharan Africa countries. The paper also explores whether the relationship reflects a capture effect, is an outcome of the confrontational climate of the cold war or is a self-preservation effort by military rulers. The panel data estimations show that the presence of a military ruler has a statistically significant negative effect on military spending as a percentage of GDP. The coefficients are also not significantly different before or after the end of the cold war era. This implies that the negative relationship is driven by an effort by military rulers to preempt the ability of their peers to overthrow them from power. We also attempt to deal with potential endogeneity and consider the possibility of persistence in military spending. The paper uses the Arellano and Bond (1991) estimation technique that shows a negative but insignificant effect of the presence of a military ruler on military expenditure, while military spending shows a high degree of persistence.


Author(s):  
J. Paul Dunne ◽  
Nan Tian

This article compares results of our 2015 study of the effect of military expenditure on economic growth, 1988–2010, with results using an additional 28 years of data provided in the newly revised and extended SIPRI dataset, 1960–2014. When the additional data points are added, we find no substantive differences and confirm the statistically significant negative effect of military expenditure on growth reported in our prior research. Using the same estimation process, there is no evidence of a structural break in the time series. Considering nonlinearity and heterogeneity, the estimates using the new data for ninety-seven countries are remarkably consistent with the earlier results and, overall, are very similar in sign and statistical significance, and many of the coefficients are larger (more adverse) than before. The new data provide valuable extra information and support for the original findings.


In this chapter, Haq outlines his optimistic outlook for global world order. For him the end of the Cold War had opened up many more choices for the global community. For the first time global military spending was seen to be declining every year. He saw potential to reallocate ODA aid funds, which were previously tilted in favour of cold war allies. For Haq the challenge is to link economic growth as the means to human development as an objective. He stresses on the need to reform institutions of global governance to translate globalization into opportunities for people.


2005 ◽  
Vol 14 (1) ◽  
pp. 1-21 ◽  
Author(s):  
PERTTI AHONEN

This article analyses the process through which the dangers posed by millions of forced migrants were defused in continental Europe after the Second World War. Drawing on three countries – West Germany, East Germany and Finland – it argues that broad, transnational factors – the cold war, economic growth and accompanying social changes – were crucial in the process. But it also contends that bloc-level and national decisions, particularly those concerning the level of autonomous organisational activity and the degree and type of political and administrative inclusion allowed for the refugees, affected the integration process in significant ways and helped to produce divergent national outcomes.


2019 ◽  
pp. 231-262
Author(s):  
Alan Bollard

1946 brought the Armistice and a new economic task: the focus of the economists had to move from the problems of wartime rationing and finance to a new world of economic reconstruction, post-war stabilization, economic growth, and debt reduction. In addition the Cold War brought a new tactic: strategic deterrence. In this year Japan commemorated the anniversary of the death of Takashi Korekiyo, H. H. Kung gathered his wealth and prepared to flee the Chinese Communist forces, Maynard Keynes helped establish the International Monetary Fund, only to die exhausted, and Hjalmar Schacht defended himself from accusations of Nazism and regained his freedom.


Author(s):  
Martin Klimke

Even after more than four decades, the events of the tumultuous year 1968 still mesmerise and polarise Europe, both culturally and politically. Although prominent representatives of the continent's student revolt have called for people to ‘forget 68’, Europeans have entered the historicisation and memorialisation process for this period with vigour. Among the causes and contexts of the social movements, acts of dissent, and youthful revolts that are commonly subsumed under the cipher ‘1968’, the Cold War and the division of Europe after 1945 usually enjoy pride of place, although these were by no means the only influences. The rapid demographic changes after World War II were probably the primary force that shaped the context in which the opposition of the youth was to unfold. The postwar baby boom reached its climax in 1947, coinciding with a massive economic growth in many Northern and Western European countries that reached into all segments of society and proved particularly beneficial to the lower middle and working classes.


Author(s):  
Vladimir O. Pechatnov

This chapter analyzes the dynamics of the United States–Soviet Union relations during the Cold War. It describes the evolution of the “strategic codes” on both sides, and how they perceived the nature and prospects of the conflict. The chapter suggests that this relationship can be divided into a number of distinct stages. These include the assessment of the nature and possible prospects of the protracted conflict in 1945–1953, the growing competitiveness of the Soviet Union in the mid-1950s to the late 1960s, the slackening of Soviet economic growth in the late 1970s to the early 1980s, and the economic crisis and economic stagnation of the Soviet Union in the mid-1980s to 1991.


2019 ◽  
Vol 11 (11) ◽  
pp. 3102 ◽  
Author(s):  
Ileana Pătru-Stupariu ◽  
Marioara Pascu ◽  
Matthias Bürgi

Landscape researchers tend to reduce the diversity of tangible heritage to physical aspects of cultural landscapes, from the wealth of intangible heritage they focus on land-use practices which have a direct and visible impact on the landscape. We suggest a comprehensive assessment of both tangible and intangible heritage, in order to more accurately assess the interconnection of local identity and the shaping of cultural landscapes. As an example, we looked at Saxon culture and cultural landscapes in southern Transylvania (Romania), where we assessed features of tangible and intangible cultural heritage, identified their resilience and the driving forces of their change. Our analysis, based on 74 interviews with residents in ten villages in southern Transylvania, showed a high resilience of tangible heritage and a low resilience of intangible heritage. A major factor responsible for changes in the Saxon heritage was a decline in the population at the end of the Cold War, due to migration, driven by political and economic factors. We conclude by discussing the specific merits of such an analysis for integrated landscape management.


2018 ◽  
Vol 20 (2) ◽  
pp. 129-154
Author(s):  
Oscar Sanchez-Sibony

Using recently declassified documents from Moscow, this article recounts Anastas Mikoyan's trip to Japan in the summer of 1961. The trip served as an inflection point in the commercial relationship between the Soviet Union and Japan—a relationship that by the end of the decade had become the most extensive between the Soviet Union and a country of the “free world.” The article indicates that narratives focusing on ideologies of great-power rivalry during the Cold War tend to miss the kinds of global ideological currents that shaped many states’ behavior after 1945. Mikoyan's discussions with political and business elites in Japan suggest that an ideology of economic growth increasingly underlay concepts of political governance on both sides and ultimately allowed for the kind of cooperation that characterized Soviet-Japanese relations.


2019 ◽  
Vol 5 (1) ◽  
pp. 1
Author(s):  
Anwar Mohamed Faraj ◽  
Tara Taha Othman

Constructivism emerged at the end of the Cold War and entered into IR theories debate by criticizing the rationalists (neo-liberal and neo-realist) on the one hand and critics on the other, accusing them of failing to predict and explain the end of the Cold War. While rationalists focus on material and economic factors, constructivists focus on cultural factors, the influence of ideas, norms and identities on the explanation of processes of interest formation, how to define survival and defining mechanisms of international politics, and emphasize that interest and identity interact through socio-historical processes and constitute each other. Thus, constructivism belongs to the fourth debate in the theoretical study of International Relations and it is one of the post-positivist theories, but it attempts to serve as a bridge between the positivist and post-positivist approaches. For example, if post-positivist theories are criticized, because of suffering from providing a realistic alternative versus of the description and explanation offered by rational theories, constructivism tries to overcome this criticism and it is able to provide the research program required to remove the post-positivist dilemma, by providing the practical hypotheses required by the establishment of a theory to describe and explain the reality of international relations. However, constructivism is not immune from criticism, it is accused that it does not offer anything new and exaggerates the understanding of cultural factors such as norms and identities and their impact on the reality of international relations, as well as its epistemological and methodological problems and its internal divisions between modern constructivists and postmodern constructivists.


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