Search results

1 – 10 of over 1000
Article
Publication date: 2 December 2022

Veysel Inal, Temel Gurdal, Tunahan Degirmenci and Mucahit Aydin

There is extensive literature on the effect of military expenditure on economic growth. However, there is also a wide gap in the literature on the relationship between…

Abstract

Purpose

There is extensive literature on the effect of military expenditure on economic growth. However, there is also a wide gap in the literature on the relationship between productivity and innovation, which is considered the driving force of economic growth and military expenditures. To this end, this study examines the effect of military expenditures on economic growth, innovation and labor productivity for the period 1995–2019 in most militarized countries.

Design/methodology/approach

The tests used in the study's empirical analysis are techniques that take into account cross-sectional dependence and heterogeneity. The stationarity of the variables was tested with the Pesaran’s (2007) unit root test. Then, empirical findings were revealed based on the analysis through Westerlund’s (2008) cointegration test and Emirmahmutoglu and Kose’s (2011) panel causality test.

Findings

According to the empirical results, there is a long-run relationship, in other words, a cointegration between military expenditures and productivity, innovation and economic growth. Additionally, there are causality relationships between military expenditures and productivity, innovation and economic growth.

Practical implications

These results support the arguments of military Keynesianism and the Benoit hypothesis.

Originality/value

Despite the widespread theoretical debate, no empirical study tests the effect of military expenditure on productivity and innovation to the author's best knowledge. Hence, this study aims to fill this gap in the literature. Moreover, the fact that the econometric method used is based on second generation tests and the timeliness of the period range makes the study's findings more significant.

Details

Kybernetes, vol. 53 no. 3
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 18 May 2010

Christos Kollias and Suzanna‐Maria Paleologou

The purpose of this paper is to investigate the relationship between growth, investment and military expenditure in the case of the European Union‐15.

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Abstract

Purpose

The purpose of this paper is to investigate the relationship between growth, investment and military expenditure in the case of the European Union‐15.

Design/methodology/approach

The paper uses fixed panel models, random coefficient models and a trivariate VAR model to examine empirically the relationship between these three macroeconomic variables.

Findings

The results obtained and reported herein show a significant positive effect of the growth rate on the share of military expenditure and on the share of investment. However, on the whole, the findings do not seem to point to any consistent quantitative relation between defence spending and either growth or investment. Thus, they appear to be in line with the findings of other studies.

Originality/value

The economic effects of military spending have drawn considerable attention. Demand side effects on capacity utilisation are one possible channel through which the economy can be positively affected by such expenditure. On the other hand however, reduced investment and capital stock have been reported as a possible negative economic impact of defence outlays that can more than offset any growth inducing effective demand stimulation. The paper attempts a simultaneous assessment of the impact of defence expenditure on both growth and investment for the EU‐15, something that has not been tried before.

Details

Journal of Economic Studies, vol. 37 no. 2
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 9 January 2017

Nusrate Aziz and M. Niaz Asadullah

While the relationship between military expenditure and economic growth during the Cold War period is well-researched, relatively less is known on the issue for the post-Cold War…

1450

Abstract

Purpose

While the relationship between military expenditure and economic growth during the Cold War period is well-researched, relatively less is known on the issue for the post-Cold War era. Equally how the relationship varies with respect to exposure to conflict is also not fully examined. Therefore, the purpose of this paper is to investigate the causal impact of military expenditure on growth in the presence of internal and external threats for the period 1990-2013 using data from 70 developing countries.

Design/methodology/approach

The main estimates are based on the generalized method of moments (GMM) regression model. But for comparison purposes, the authors also report estimates using fixed and random effects as well as pooled cross-section regressions. The regression specification accounts for non-linear effect of military expenditure allowing for interaction with conflict variable (where distinction is made between external and internal conflict).

Findings

The analysis indicates that methods as well as model specification matter in studying the effect of military spending on growth. Full sample estimates based on GMM, fixed, and random effects models suggest a negative and statistically significant effect of military expenditure. However, fixed effects estimate becomes insignificant for low-income countries. The effect of military spending is also insignificant in the cross-sectional OLS model if conflict is not considered. When the regression model additionally controls for conflict, the effect of military spending conditional upon (internal) conflict exposure is significant and positive. No such effect is present conditional upon external threat.

Research limitations/implications

One important limitation of the analysis is the small sample size – the authors had to restrict analysis to 70 low and middle-income countries for which the authors could construct post-Cold War panel data on military expenditure along with information on armed conflict exposure (the later from the Uppsala Conflict Data Program, 2015).

Originality/value

To the best of the author’s knowledge, this is the first paper to examine the joint impact of military expenditure and conflict on economic growth in post-Cold War period in a sample of developing countries. Moreover, an attempt is made to review and revisit the large Cold War literature where studies vary considerably in terms findings. A key reason for this is the somewhat ad hoc choice of econometric methods – most rely on cross-section data and rarely conduct sensitivity analysis. The authors instead rely on panel data estimates but also report results based on naïve models for comparison purposes.

Details

Journal of Economic Studies, vol. 44 no. 1
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 20 November 2017

Muhammad Ahad and Adeel Ahmad Dar

The purpose of this paper is to examine the non-linear impact of defence spending on economic growth for the USA, the UK and Russia by using quarterly frequency from 1992 to 2014.

Abstract

Purpose

The purpose of this paper is to examine the non-linear impact of defence spending on economic growth for the USA, the UK and Russia by using quarterly frequency from 1992 to 2014.

Design/methodology/approach

The unit root property is tested by ADF and PP unit root test. Further, BDS test is applied to test the linear independence. To verify the results of BDS test, we apply short and long-run symmetry test. The cointegration non-linear relationship is examined by NARDL approach. Further, Multipliers predict the speed of adjustments by considering the nonlinearity.

Findings

The short and long-run symmetry test confirms the existence of asymmetry in all countries. Further, asymmetric cointegration is confirmed through Wald statistics of Pesaran and Banerjee for all countries. The long-run asymmetric coefficient predicts negative and significant impact of defence spending on economic growth for the USA and the UK, but, these impacts were positive and significant in the case of Russia. The multiplier effect of defence spending on economic growth confirms the findings of NARDL model.

Originality/value

This study contributes in existing literature by applying newly developed non-linear ARDL approach, including a Wald test for long and short-run symmetry, asymmetric cointegration and asymmetric long run parameters in case of the USA, the UK and Russia.

Details

Journal of Economic and Administrative Sciences, vol. 33 no. 2
Type: Research Article
ISSN: 1026-4116

Keywords

Open Access
Article
Publication date: 20 April 2018

Andreas Herbert Glas

The military of today depends on the availability and readiness of high-technology weapon systems. As the military often has to focus on core tasks (the usage of systems)…

1547

Abstract

Purpose

The military of today depends on the availability and readiness of high-technology weapon systems. As the military often has to focus on core tasks (the usage of systems), logistics and support tasks are outsourced to industry, which means that industrial suppliers gain importance for making weapon systems available and mission ready. However, companies are profit-maximizing and invest their best resources in the most promising business areas, which might be clients other than the (domestic) military customer. This raises the question of how the military can ensure that the defense industry provides the best performance: preferential treatment for the military. The purpose of this study is to investigate preferential treatment in the specific context of defense.

Design/methodology/approach

This paper reports on the examination of factors influencing preferential treatment for the military. The analysis uses structural equation modeling and data from a sample of German defense suppliers.

Findings

The results show that the perceived customer attractiveness has a strong effect on preferential customer treatment. Attractiveness is influenced by trust, commitment and a comparison with other customers.

Research limitations/implications

There are several implications for defense theory and practice, including the need for further consideration of relational in contrast to transactional practices in military–industrial supply collaboration, as these seem highly relevant for getting the best resources for producing and maintaining weapon systems. In addition, increasing customer attractiveness, in particular if the military lacks a domestic defense industry base, is proposed.

Originality/value

The findings are based on a focus sample of only defense suppliers. This paper transfers the industrial discussion about the buyer–supplier relationships and preferential customer treatment to the defense logistics research context.

Details

Journal of Defense Analytics and Logistics, vol. 1 no. 2
Type: Research Article
ISSN: 2399-6439

Keywords

Article
Publication date: 20 October 2020

José Solana Ibáñez, Manuel Caravaca Garratón and Antonio Soto Meca

The improvement in the efficiency of public management leads to an increase in the quality of services, boosting confidence in institutions and thus generating a multiplier…

Abstract

Purpose

The improvement in the efficiency of public management leads to an increase in the quality of services, boosting confidence in institutions and thus generating a multiplier effect. This paper aims to update the literature on the data envelopment analysis (DEA), which uses a frontier methodology, for measuring the efficiency applied to the defence sector.

Design/methodology/approach

Two main research areas are related through this study: Defence Economics and Efficiency and Productivity Analysis. The frontier methods for measuring technical efficiency are grouped into parametric, non-parametric and semi-parametric. The DEA literature review in the selected sector allows to identify three main fields of work that are discussed in detail.

Findings

Existing empirical research has hardly applied bootstrapping methods to remove bias from the estimates. No empirical work has applied an analysis of efficiency determinants by the inclusion of exogenous variables.

Originality/value

The managerial implications of efficiency are numerous. A line of research is proposed to examine the extent to which efficiency improvements have an impact on reputation and, therefore, on the image of and confidence in institutions. The link between Defence Economics and Corruption Economics is also considered.

Propósito

La mejora de la eficiencia de la gestión pública conduce a un aumento de la calidad de los servicios, impulsando la confianza en las instituciones y generando así un efecto multiplicador. El presente trabajo tiene por objeto actualizar la literatura sobre la metodología frontera de medición de la eficiencia DEA, aplicada al sector de la Defensa.

Diseño/metodología/enfoque

A través de este estudio, se relacionan dos áreas principales de investigación: Economía de la Defensa y Análisis de Eficiencia y Productividad. Los métodos frontera para medir la eficiencia técnica se agrupan en paramétricos, no paramétricos y semiparamétricos. La revisión de la literatura DEA en el sector seleccionado permite identificar tres campos de trabajo principales que se discuten en detalle.

Resultados

La investigación empírica existente apenas ha aplicado métodos bootstrap para eliminar el sesgo de las estimaciones. Ningún trabajo empírico ha aplicado un análisis de determinantes de la eficiencia mediante la inclusión de variables exógenas.

Originalidad/valor

Las repercusiones de la eficiencia en la gestión son numerosas. Se propone una línea de investigación para examinar en qué medida las mejoras de la eficiencia repercuten en la reputación y, por consiguiente, en la imagen y la confianza en las instituciones. También se considera el vínculo entre la Economía de la Defensa y la Economía de la Corrupción.

Article
Publication date: 1 August 1994

Ugur Yavas

The cost and data‐gathering problems associated with research indeveloping countries can be partially remedied by using students assurrogates of other populations. Reports the…

2184

Abstract

The cost and data‐gathering problems associated with research in developing countries can be partially remedied by using students as surrogates of other populations. Reports the findings of two studies which investigated the efficacy of students as surrogates of adults in Saudi Arabia. One of these studies was in the domain of attitudes towards advertising and the other in the area of country‐of‐origin effects. Results of the studies suggest that the use of students is appropriate in modelling attitude‐behaviour relationships and scale development.

Details

International Marketing Review, vol. 11 no. 4
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 17 May 2022

Nikolaos Grigorakis and Georgios Galyfianakis

The empirical analysis dealt in this paper emphasizes on the impact of military expenditures on out of pocket (OOP) healthcare payments. A sizeable body of defence economics…

Abstract

Purpose

The empirical analysis dealt in this paper emphasizes on the impact of military expenditures on out of pocket (OOP) healthcare payments. A sizeable body of defence economics literature has investigated the trade-off between military and public health expenditure, by testing the crowding-out or growth-stimulating hypothesis; does military expenditure scaling up crowd-out or promote governmental resources for social and welfare programs, including also state health financing?

Design/methodology/approach

In this study, panel data from 2000 to 2018 for 129 countries is used to examine the impact of military expenditure on OOP healthcare payments. The dataset of countries is categorized into four income-groups based on World Bank's income-group classification. Dynamic panel data methodology is applied to meet study objectives.

Findings

The findings of this study indicate that military expenditure positively affects OOP payments in all the selected groups of countries, strongly supporting in this way the crowding-out hypothesis whereby increased military expenditure reduces the public financing on health. Study econometric results are robust since different and alternative changes in specifications and samples are applied in our analysis.

Practical implications

Under the economic downturn backdrop for several economies in the previous decade and on the foreground of a potential limited governmental fiscal space related to the Covid-19 pandemic adverse economic effects, this study provides evidence that policy-makers have to adjust their government policy initiatives and prioritize Universal Health Coverage objectives. Consequently, the findings of this study reflect the necessity of governments as far as possible to moderate military expenditures and increase public financing on health in order to strengthen health care systems efficiency against households OOP spending for necessary healthcare utilization.

Originality/value

Despite the fact that a sizeable body of defence economics literature has extensively examined the impact of military spending on total and public health expenditures, nevertheless to the best of our knowledge there is no empirical evidence of any direct effect of national defence spending on the main private financing component of health systems globally; the OOP healthcare payments.

Details

EuroMed Journal of Business, vol. 18 no. 2
Type: Research Article
ISSN: 1450-2194

Keywords

Article
Publication date: 1 April 1952

Elsewhere in this issue details are given of the requirements of the Meat Products Order, 1952. Certain minimum meat contents have been increased with effect from March 16th last…

Abstract

Elsewhere in this issue details are given of the requirements of the Meat Products Order, 1952. Certain minimum meat contents have been increased with effect from March 16th last, without the issue of any prior warning, and at the time of writing, twenty days after the Order came into force, the Public Analyst has received no official notification of the changes. This type of ill‐considered arbitrary action by the Ministry of Food can only breed distrust amongst those whose duty lies in complying with or enforcing whatever the Ministry decrees.

Details

British Food Journal, vol. 54 no. 4
Type: Research Article
ISSN: 0007-070X

Article
Publication date: 9 March 2015

Kim K P Johnson, Sharron J. Lennon, Jung Mee Mun and Dooyoung Choi

entailed assessing directions in subject matter content and the types of research strategy employed. In research using human participants, the purposes were to assess: sampling…

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Abstract

Purpose

entailed assessing directions in subject matter content and the types of research strategy employed. In research using human participants, the purposes were to assess: sampling strategy, statements limiting generalizability, incentive use, and the use of undergraduates (UGs) as participants. Finally, with studies utilizing UG participants, the purpose of this paper was to assess: directions in subject matter content, research strategy, sampling strategy, justification of participants, statements limiting generalizability, and incentive use.

Design/methodology/approach

A content analysis of fashion/clothing research articles (n=963) appearing in three scholarly journals between 1996 and 2013.

Findings

Consumer behavior was the most frequent research topic and survey methodology dominated the research strategy employed. Majority of samples were nonprobability, slightly over half of the authors provided statements limiting generalizability of their findings, use of incentives was routinely not reported, and a little over a third used UGs as participants. Of researchers using UGs, consumer behavior was the most frequent topic, UGs were justified as participants, and when both UGs and nonstudents were included as participants, comparisons in responses were typically not made.

Research limitations/implications

Articles included were limited to those published in three journals.

Practical implications

Author/reviewer guidelines should suggest providing: an appropriate rationale for UG use; descriptive population statistics; statements limiting generalization; information describing the sampling technique; and information on the use of incentives. Also when authors have UGs and nonstudent adults as participants it would be useful to analyze for significant differences between the two groups.

Originality/value

First investigation of use of UGs as participants in clothing/fashion research.

Details

Journal of Fashion Marketing and Management, vol. 19 no. 1
Type: Research Article
ISSN: 1361-2026

Keywords

1 – 10 of over 1000