Political Decisions, Defence and Growth

Erdogdu, Oya Safinaz (2006): Political Decisions, Defence and Growth.

Abstract

Considering the importance of military expenditures on political and economical success of a government, this empirical study analyzes the relations between political stability, economic growth and military expenditures. Based on the theoretical model developed by Blomberg (1996), the vector autoregression analyzes results for a democratic country indicates the significance of military expenditures on political stability and private sector investment decisions.

• Item Type: MPRA Paper
• Institution: Ankara University
• Language: English
• Keywords: Defense; Political Stability; Growth; VAR
• Subjects: C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models ; Multiple Variables > C32 - Time-Series Models ; Dynamic Quantile Regressions ; Dynamic Treatment Effect Models ; Diffusion Processes ; State Space Models

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