Causal Linkages Between Domestic Terrorism and Economic Growth

We use the Hsiao–Granger method to test for terrorism–growth causality for seven Western European countries. In bivariate settings, the impact of economic performance on domestic terrorism is very strong. In trivariate settings, the impact of performance on terrorism diminishes. In general, we find that economic performance leads terrorist violence in robust ways only for three out of seven countries. Terrorism is almost never found to causally influence growth in bivariate and trivariate specifications. Our findings indicate that the role of economic performance in determining terrorist violence appears to have been important for some countries, whereas all attacked economies have been successful in adjusting to the threat of terrorism.     

Military Spending and Economic Growth in South Asia: A Panel Data Analysis

Despite the large number and variety of studies addressing the relationship between military spending and economic growth, a consensus regarding the exact nature of any relationship between the two has proven elusive. This study uses a panel co-integration approach to examine the relationship between military spending and economic growth in the five South Asian countries of India, Pakistan, Nepal, Sri Lanka and Bangladesh over the period of 1988–2007. It finds that a 1% increase in military spending increases real GDP by only 0.04%, suggesting that the substantial amount of public expenditure that is currently directed towards military purposes in these countries has a negligible impact upon economic growth.     

Automated integration of real-time and non-real-time defense systems

Various application domains require the integration of distributed real-time or near-real-time systems with non-real-time systems.Smart cities,smart homes,ambient intelligent systems,or network-centric defense systems are among these application domains.Data Distribution Service(DDS)is a communi-cation mechanism based on Data-Centric Publish-Subscribe(DCPS)model.It is used for distributed systems with real-time operational constraints.Java Message Service(JMS)is a messaging standard for enterprise systems using Service Oriented Architecture(SOA)for non-real-time operations.JMS allows Java programs to exchange messages in a loosely coupled fashion.JMS also supports sending and receiving messages using a messaging queue and a publish-subscribe interface.In this article,we pro-pose an architecture enabling the automated integration of distributed real-time and non-real-time systems.We test our proposed architecture using a distributed Command,Control,Communications,Computers,and Intelligence(C4I)system.The system has DDS-based real-time Combat Management System components deployed to naval warships,and SOA-based non-real-time Command and Control components used at headquarters.The proposed solution enables the exchange of data between these two systems efficiently.We compare the proposed solution with a similar study.Our solution is superior in terms of automation support,ease of implementation,scalability,and performance.     

Externalities in Military Spending and Growth: The Role of Natural Resources as a Channel through Conflict

This investigation re-examines the potential sources of positive externalities for the relationship between military spending and economic growth using recent advances in panel estimation methods and a large data-set on military expenditure. The investigation provides a new analysis on the relationship between conflict, corruption, natural resources and military expenditure and their direct and indirect effects on economic growth. The analysis finds that the impact of military expenditure on growth is generally negative as in the literature, but that it is not significantly detrimental for countries facing higher internal threats and for countries with large natural resource wealth once corruption levels are accounted for.     

Military Spending and Economic Growth in the Middle East Countries: Bootstrap Panel Causality Test

This study revisits the causal relationship between military spending and economic growth in 10 Middle East countries via a panel causality analysis that accounts for cross-sectional dependence and heterogeneity across countries. Our results indicate unidirectional causality from military spending to growth for Turkey; one-way causality from economic growth to military spending for Egypt, Kuwait, Lebanon, and Syria; bidirectional causality for Israel; and no causality in either direction for Jordan, Oman, and Saudi Arabia. The empirical evidence does not provide consistent results regarding the causal relationship between defense expenditure and economic growth in these countries.     

Facing an uncertain economic future: Environmental management spending and rural regions surrounding the U.S. DOE's nuclear weapons facilities

Using an economic simulation model, the study finds that the proposed expenditure by the U.S. Department of Energy of billions of dollars to manage the nuclear weapons environmental legacy followed by sharp reductions in expenditures would cause economic spikes and then depressions in three rural regions (Hanford in Washington, INEEL in Idaho, and SRS in South Carolina). The economies of larger and growing metropolitan regions with DOE sites will not be noticeably impacted. Simulations suggest pronounced impacts on income, jobs, and gross regional product in the three dependent rural regions. Policy options are reviewed to address the economic stresses of these rural dependent regions.     

NON‐LINEARITY IN THE DEFENCE EXPENDITURE – ECONOMIC GROWTH RELATIONSHIP IN TAIWAN

As we enter the 21st Century, technologies originally developed for defense purposes such as computers and satellite communications appear to have become a driving force behind economic growth in the United States. Paradoxically, almost all previous econometric models suggest that the largely defense‐oriented federal industrial R&;D funding that helped create these technologies had no discernible effect on U.S. industrial productivity growth. This paper addresses this paradox by stressing that defense procurement as well as federal R&;D expenditures were targeted to a few narrowly defined manufacturing sub‐sectors that produced high tech weaponry. Analysis employing data from the NBER Manufacturing Productivity Database and the BEA’ s Input Output tables then demonstrates that defense procurement policies did have significant effects on the productivity performance of disaggregated manufacturing industries because of a process of procurement‐driven technological change.     

Political systems,stability and civil wars

In this paper we analyze theoretically and empirically the stability of the different political systems; that is, their ability to prevent conflict. According to our model, the proportional system has a lower probability of group rebellion than the majoritarian system. In the empirical part we test the role of political systems in preventing civil wars. We show that democracy by itself does not play an important explanatory role, while the specific type of political system-majoritarian, presidential and proportional-does. The rationale of this result is that different political systems entail different opportunity costs of rebellion.     

Disarmament: A century of economic thought

This article delineates the history of how disarmament became a concept in economic thought and reviews the relevant writings of economists such as Veblen, Wicksell, Pareto, Schumpeter, Hilferding, Luxemburg, Lenin, Bukharin, Sombart, Keynes, Pigou, and Robbins, and of selected classical precursors (e.g., Smith, Ricardo, Malthus, List, Marx/Engels) as well as post-World War II writers (e.g., Richardson, Boulding, Hirshleifer). Particular attention is paid to how the "markets-as-peace" versus "capitalism-as-war" dichotomy developed, a dichotomy reflected in the contemporary debate on the relative merits or demerits of "globalization".     

Defence spending and economic growth in South Africa: A supply and demand model*

This paper provides a contribution to the growing corpus of knowledge and understanding of the interaction between economic growth and defence spending in South Africa by specifying a Keynesian simultaneous equation model and estimating the system for the period 1961 to 1997. The model contains a growth equation, a savings equation, a trade balance equation and a military burden equation and when estimated by single equation and systems estimation methods is relatively well specified. There is evidence of an overall negative effect of military spending on the economy over this period, though the significance of individual coefficients is low. There is certainly no evidence of any positive impact, suggesting that cuts in military spending do present an opportunity for improved macroeconomic performance.