Conflict, Defense Spending and Economic Growth in the Middle East: A Panel Data Analysis
The relationship between defense spending and economic growth is an active topic of debate for a long time. Defense spending may have negative consequences on the growth performance of developing countries in such conflict-ridden areas as the Middle East. This study is conducted to investigate the e...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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EconJournals
2016-03-01
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| Series: | International Journal of Economics and Financial Issues |
| Subjects: | |
| Online Access: | https://dergipark.org.tr/tr/pub/ijefi/issue/32008/353644?publisher=http-www-cag-edu-tr-ilhan-ozturk |
| Summary: | The relationship between defense spending and economic growth is an active topic of debate for a long time. Defense spending may have negative consequences on the growth performance of developing countries in such conflict-ridden areas as the Middle East. This study is conducted to investigate the effects of defense spending on economic growth in a panel of twelve Middle Eastern countries over the period 1998-2012. The approach suggested by Swamy and Arora (1972) was employed for the empirical study. Findings of the empirical study suggest that defense spending has a negative effect on economic growth, which aggravates during times of internal and external conflicts. |
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| ISSN: | 2146-4138 |