scholarly journals Financing Defence: The Influence of Defence Budget on National Economic Growth: An Indonesian Case

2018 ◽  
pp. 1-5
Author(s):  
Posma Sariguna Johnson Kennedy
Keyword(s):  
Economic Growth ◽  
Small Variation ◽  
Balance Of Power ◽  
Equation Model ◽  
Defense Spending ◽  
National Defense ◽  
Defense Budget ◽  
Defence Budget ◽  
Growth Increase ◽  
National Economic

In our hypothesis the defense budget must reduce the traditional threat and influence the economic. This research would like to see if the defense spending will influence the national economics through economic growth by demand side approach. By assuming the natural balance of power, the traditional threat come not only from military capabilities but also balanced by their economic power. The equation model formed to capture the influence of defense spending to economics growth. The regression describes that military spending had an impact on economic growth. Increase in the level of traditional threat is not reduce economic growth. The Indonesian defense budget give impact on the national economics, and the traditional threat is in small variation. But, the national defense budget still needs to be increased. This makes production could be stable, and the economic actors still feel safe doing the business.

scholarly journals ANALYSIS OF THE EFFECT OF INDONESIAN DEFENSE BUDGET POLICY ON NATIONAL ECONOMIC GROWTH

2017 ◽  
Vol 2 (1) ◽  
pp. 49 ◽  
Author(s):  
Posma Sariguna Johnson Kennedy
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Single Equation ◽  
National Defense ◽  
Defense Budget ◽  
Economic Sectors ◽  
Positive Externalities ◽  
Multiplier Effect ◽  
National Economic ◽  
Budget Policy

ABSTRACTThis study aims to show that budget policy is not only to strengthen defense equipment to the “minimum essential force”, but it should not be forgotten that budget policy also provide a multiplier effect on economic growth. The use of a good defense budget can be seen from the extent to which the budget affects the economic growth. This influence is tested by using a single equation of economic growth that is built from the supply side. Regression results of the quartile data of 1991-2010 show that the increase in the national defense budget turns out to have no effect on economic growth and gives negative externalities to the private sector. But, non-defense government budgets provide positive externalities to the private sector. This indicates that the non-defense budgets are able to provide a multiplier effect on the economy, but the defense budget has no effect on the economic sectors directly. So, the defense budget policies must give effect to the national economy, such as increased production with the development of the defense industry to meet the domestic needs of defense equipment.

Defense Expenditures, Economic Growth, and the “Peace Dividend”

1990 ◽  
Vol 84 (4) ◽  
pp. 1283-1293 ◽  
Author(s):  
Alex Mintz ◽  
Chi Huang
Keyword(s):  
United States ◽  
Economic Growth ◽  
Eastern Europe ◽  
The United States ◽  
Equation Model ◽  
Defense Spending ◽  
Delayed Effects ◽  
Peace Dividend ◽  
Recent Developments

Recent developments in Eastern Europe have created expectations of a “peace dividend” associated with reduced levels of U.S. defense expenditures. We present and empirically estimate a two-equation model for assessing the direct and indirect, immediate and delayed effects of changes in defense spending on economic growth in the United States.

Riding Waves or Making Waves? The Services and the U.S. Defense Budget, 1981–1993

1994 ◽  
Vol 88 (4) ◽  
pp. 839-852 ◽  
Author(s):  
James H. Lebovic
Keyword(s):  
Time Series ◽  
Equation Model ◽  
Bureaucratic Politics ◽  
Defense Spending ◽  
Defense Budget ◽  
Top Down ◽  
Cross Sectional ◽  
The U.S

Bureaucratic politics is the favored explanation of those addressing the perversities of defense budgeting. But it is arguably devoid of politics, given its dependence on either aggregate top-down or horizontal models. I seek to redirect analysis. I disaggregate defense spending (by service and weapon type) and study budget sensitivity to program pressures in the buildups and builddowns of the Reagan-Bush eras. Applying a two-equation model to time-series cross-sectional data, the analysis shows weapon budgets increasing with program diversification and a commitment to defense spending. In turn, it shows programs diversifying to accomodate service objectives: when turning to missions, the services increased program varieties while concentrating program resources.

Economic Growth and Defence Spending: An Efficiency Analysis of Romania’s Conscription Suspension

2020 ◽  
Vol 26 (2) ◽  
pp. 44-51
Author(s):  
Alin Teodor Huseraș ◽  
Andrei Ciprian Spînu
Keyword(s):  
Graphical Analysis ◽  
Defense Spending ◽  
National Defense ◽  
Effective Management ◽  
External Funding ◽  
The Public ◽  
Defence Spending ◽  
Key Sectors ◽  
The Military ◽  
Theoretical Issues

AbstractNational defense is one of the key sectors responsible for maintaining national security, being considered at the same time an element of great importance and strict necessity of the public sector. The performance of defense functions and missions are closely linked to the military capabilities of this sector, which in turn depend on the budget for defense spending. This paper deals with some theoretical issues in the economic field of defense, regarding the size of defense spending in GDP and their social effects. It is also trying to carry out an analysis on the efficiency versus inefficiency in the use of defense resources, to finance the two types of recruitment systems, namely: by conscription or voluntary will. In order to be able to achieve the above, graphical analysis methods and calculation dermination method were used. The efficiency of spending public funds depends on both objective factors such as: distribution of a certain share of GDP to a certain area; attracting internal and external funding, as well as subjective factors, like: allocating resources to certain categories of expenses; allocating resources to certain defense programs; effective management of these resources by the competent structures. Therefore, for a program to be considered effective, it must meet the requirements of the collective needs of society, be rationally implemented and be sustainable.

Remittances, Economic Growth and Poverty: A Case of African OIC Member Countries

2018 ◽  
Vol 57 (2) ◽  
pp. 121-143
Author(s):  
Nasim Shah Shirazi ◽  
Sajid Amin Javed ◽  
Dawood Ashraf
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Poverty Reduction ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Annual Data ◽  
Simultaneous Equation Model ◽  
African Countries ◽  
Alternative Source ◽  
The Impact

This paper investigates the impact of remittance inflows on economic growth and poverty reduction for seven African countries using annual data from 1992-2010. By using the depth of hunger as a proxy for poverty in a Simultaneous Equation Model (SEM), we find that remittances have statistically significant growth enhancing and poverty reducing impact. Drawing on our estimates, we conclude that financial development level significantly increases the remittances inflows and strengthens poverty alleviating impact of remittances. Results of our study further show a signficant interactive imapct of remittances and finacial develpment on economic growth, suggesting the substitutability between remittance inflows and financial development. We further find that 3 percentage point increase in credit provision to the private sector (financial development) can help eliminate the severe depth of hunger in the region. Remittances, serving an alternative source of private credit, can be effective in this regard. Keywords: Remittance Inflow, Poverty Alleviation, Financial Development, Simultaneous Equation Model

The Arms Race, Played by SDP

1982 ◽  
Vol 32 ◽  
pp. 8-9
Author(s):  
Elliott Frauenglass ◽  
Clyde D. McKee ◽  
Charles C. Naef
Keyword(s):  
Political Campaigns ◽  
Arms Race ◽  
Defense Spending ◽  
Best Interests ◽  
National Defense ◽  
New Concepts ◽  
The Media ◽  
Participatory Exercise ◽  
Defense Budgets

Interest in the arms race has been growing in recent years as shown by coverage in the media and in political campaigns. Many students coming to class are already preconditioned either for or against increased defense spending. This participatory exercise allows them to test their ideas, and it helps make their minds more receptive to new concepts being explored in the class, such as: Is detente in the best interests of the Unted States? Should a new SALT Treaty be negotiated? What is the best ratio of expenditures for domestic programs and national defense?SDB stands for Secret Defense Budgets. In the SDB exercise, or game as it is called, the class is divided into groups of two students sitting next to each other.

DIFFERENCES AND SIMILARITIES OF ENTREPRENEURIAL CHARACTERISTICS IN A DIVERSE SOCIAL SETTING-EVIDENCE FROM AUSTRALIAN AND SINGAPOREAN MANAGERS

2001 ◽  
Vol 09 (03) ◽  
pp. 273-289 ◽  
Author(s):  
CECIL A. L. PEARSON ◽  
SAMIR R. CHATTERJEE
Keyword(s):  
Economic Growth ◽  
International Entrepreneurship ◽  
Personality Characteristics ◽  
The Other ◽  
Personal Attributes ◽  
Work Setting ◽  
Social Setting ◽  
Geographic Boundaries ◽  
National Economic ◽  
The One

Despite the growing acceptance that entrepreneurship facilitates national economic growth there has been a lack of research in diverse international contexts. This paper assesses relationships between contextual work setting properties and three personality characteristics that have been identified in the Western literature as being associated with entrepreneurial motivation. Responses from 410 Australian and Singaporean entrepreneurs and non-entrepreneurs demonstrate on the one hand there was systematic entrepreneurial variation between the two countries, but on the other hand, the influence of personal attributes on entrepreneurship were not hampered by geographic boundaries. The findings are discussed in terms of challenges for international entrepreneurship.

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