The Impact of Worldwide Military Spending Cuts on Developing Countries

Autor:	Tamim Bayoumi, Daniel P. Hewitt, Steven A. Symansky
Rok vydání:	1998
Předmět:	Economics and Econometrics Present value media_common.quotation_subject Development economics Economics Developing country Debtor Economic impact analysis Economic benefits Externality Interest rate media_common Public finance
Zdroj:	Journal of Policy Modeling. 20:261-303
ISSN:	0161-8938
DOI:	10.1016/s0161-8938(96)00088-9
Popis:	This paper investigates the economic impact of a coordinated worldwide reduction in military expenditures of 20 percent on developing countries. Simulation results indicate that the present value of cumulative increases in civilian economic activity is equivalent to 46 percent of 1992 GDP, compared to military expenditures cuts equivalent to 33 percent of 1992 GDP. The gains reflect both the release of domestic resources and a positive international economic externality due to enhanced trade and lower world interest rates. The gains to net debtor developing countries are estimated to exceed those of industrial countries. Examination of the impact of cutting military expenditures on individual developing countries confirms the significance of external trade on the pattern and level of these economic benefits.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::fb3383b3c228e91bf9b0258300929a0e https://doi.org/10.1016/s0161-8938(96)00088-9 Zobrazit plný text záznamu Full Text from ScienceDirect