National security,military spending and the business cycle

This paper develops a Dynamic Stochastic General Equilibrium model where national security is an argument in the agent’s utility function and the government chooses optimally the level of military spending to maximize social welfare. National defense depends on military expenditure and on the strategic environment reflecting a potential hostile external threat. We use aggregate data on consumption, investment, and military spending for the US economy to estimate the parameters of the model. Estimation results suggest that consumption and national defense are complements and that military spending variability is mainly explained by external threat shocks although it also depends on the macroeconomic conditions. We compute impulse response functions of the main macroeconomic variables to several shocks: a total factor productivity shock, a defense technology shock, and a strategic environment shock. Surprisingly, we find that the optimal response to an increase in the external threat (a worsening in the strategic environment) will rise output by reducing consumption and increasing investment.     

军事通信卫星及其下行链路性能研究

随着航天技术、数字通信技术、信息安全技术等的发展,一些军事大国恣意进行空间“武器化”,掌握“制天权”,对他国的安全构成严重的威胁。介绍了军事通信卫星及其优缺点,以及在现代战争中的应用,并对军事通信卫星的下行链路进行有效干扰的一些性能数据进行了分析和计算机仿真。     

Smart Power and Military Force: An Introduction

Abstract

Smart power is comprised of two elements: the quest for building society among states and between states and non-state actors; as well as the desire for cleaner forms of power projection. This special issue explores how states continue to fumble over achieving the optimum mix of hard and soft power across several country cases and themed articles. This set of contributions suggests that smart power is not unlike a ‘Swiss Army Knife’ analogy: multifunctional and challenging to choose the right combination of ideational and material tools.     

Military Expenditures and Natural Resources: Evidence from Rentier States in the Middle East and North Africa

It has been argued that the discovery of a new natural resource greatly increases the risk of conflict. This research aims to study the effect of natural resources on military spending, using the data from rentier states in the Middle East and North Africa (MENA) countries from 1987 to 2012. In considering the ‘resource curse,’ the types of natural resources matter. Our empirical results demonstrate that the ‘resource curse’ arising from the abundance of certain natural resources, particularly oil and forest resources, leads to increases in military spending. In contrast, the rent from coal and natural gas has a negative impact on military spending, while the rent from minerals has no impact on military spending, controlling for GDP growth and per capita income.     

Soldiers as victims: behind military barracks in the post-colonial African army

This paper examines the ways in which the military infringes on the social and political rights of soldiers who joined the Zimbabwe National Army in post-independence Zimbabwe. Contrary to the scholarly and policy debates that present Zimbabwean soldiers as the silent prop behind President Robert Mugabe and the perpetrators of political violence, this paper argues that these soldiers have also been victimised in army barracks. The victimhood of soldiers has been explicit in the ways in which they are forced to execute their duties beyond their professional expectations. In substantiating this argument, the paper explores the unethical military training and the ways in which soldiers are disciplined and punished through Chapter 11:02 of the draconian Defence Act. The paper’s contribution stems from a ‘rights’ perspective that emphasises the right to freedom, justice and protection, which is usually quite silent in the military. But the question is how can soldiers’ concerns be translated into new practices without compromising so-called ‘state security’?     

Military expenditure,economic growth and structural instability: a case study of South Africa

This paper contributes to the growing literature on the milex-growth nexus, by providing a case study of South Africa and considering the possibility of structural breaks by applying newly developed econometric methods. Using full sample bootstrap Granger non-causality tests, no Granger causal link is found between military expenditure and GDP for 1951–2010, but parameter instability tests show the estimated VARs to be unstable. Using a bootstrap rolling window estimation procedure, however, finds evidence of bidirectional Granger causality in various subsamples. This implies standard Granger non-causality tests, which neither account for structural breaks nor time variation may be invalid.     

The Impact of the Unemployment Rate on Attrition of First-Term Enlistees

This study examines the effects of home-state unemployment rates on attrition behavior of Navy enlistees for successive career windows during the first term of service: the first 6?months, the second 6?months, the second year, and the third year of service. The results indicate that attrition is negatively associated with changes in the local unemployment rate during the first three career windows covering two years of service. However, after two years of service, the estimated effect of the unemployment rate becomes insignificant for most groups of sailors. This is likely because sailors with the poorest job matches are sorted out early in the first term of service.     

Detecting Problems in Military Expenditure Data Using Digital Analysis

The UN asks governments to report key figures of their annual military budgets with the aim of creating trust among member states. This goal can only be achieved if the data reported is accurate. However, although there are many reasons for governments to falsify data, the UN does not check for manipulation. In this paper, we apply Benford’s law to the military expenditure data of 27 states taken from the UN register. Our analysis of the first digits shows that the states with the greatest deviations from the expected Benford distribution and therefore the lowest data quality are the USA and the UK.     

Does Military Spending Really Matter for Economic Growth in China and G7 Countries: The Roles of Dependency and Heterogeneity

This study revisits the causal linkages between military spending and economic growth in China and G7 countries (i.e. Canada, France, Germany, Italy, Japan, the UK, and the USA) by focusing country-specific analysis for the period 1988–2010. The panel causality analysis, which accounts for both cross-country dependency and heterogeneity across countries, is employed in this study. Our results find evidence of the neutrality hypothesis for Italy, France, and Germany, the military spending–growth detriment hypothesis for both Canada and the UK, and one-way Granger causality running from economic growth to military spending for China. Furthermore, we find a feedback between military spending and economic growth in both Japan and the USA. Thus, our results do not support that one size fits all.     

Military Spending and Economic Growth: The Case of Iran

Over the last decade, the Iranian Government budget on military has been higher than the average of the world. The current increasing international sanctions aim to reduce the military capabilities and capacities of the Iranian Government. We analyze the response of the Iranian economy to shocks in its military budget from 1959 to 2007, using impulse response functions and variance decomposition analysis. The Granger causality results show that there is unidirectional causality from the military spending growth rate to the economic growth rate. The response of income growth to increasing shocks in the military budget is positive and statistically significant.