Economic theories of defence

It is an economic field that studies the management of government budget and its expenditure during mainly war times, but also during peace times, and its consequences on. In his major work, an inquiry into the nature and causes of the wealth of nations 1776, smith considered a perennial problem of defense management, namely, the increasing expense of warfighting equipment. International security, defence economics and the powers of nations. Friedrich hayek is wellknown for his numerous contributions in the field of economics and political philosophy. It studies all aspects of the economics of war and peace. Experts from a wide range of different countries from the major economies of north america and western europe to developing economies and some unique cases such as china, india, singapore, south africa and north korea describe and analyse the structure, conduct and performance of the defence industry in that country. Defence economics is often perceived as series of questions that arise in the. An early specialized work in the field is the rand corporation report the economics of defense in the nuclear age by charles j.

The book presents a general discussion on the economic models of the nexus of military spending and economic growth, as well as military keynesianism and the militaryindustrial complex. Economic theories of peace and war, london, new york. This article surveys the development of the economic theory of alliances over the last quarter of a century since the 1966 article by olson and zeckhauser. Economic theories of peace and war studies in defense economics set up a giveaway. The results reveal that there is a positive and significant relation between defence spending and economic growth. Prime members enjoy free twoday delivery and exclusive access to music, movies, tv shows, original audio series, and kindle books. In light of the plausibility of significant cuts in defence spending during the forthcoming years, a quantitative analysis is made assessing the effects of defence spending cuts.

Since its inception over a decade ago, the european union s eu common security and defence policy csdp has seen the deployment of over 25 missions to various locations in the eus near and wider neighbourhood. Game theory, including dynamic games models, has made important contributions to defence and peace economics acemoglu, d. Economic theories of peace and war studies in defense. It embraces a wide range of topics in both macroeconomics and microeconomics.

Including an account of the marxist crisis theories, it focuses on military spending as a counteracting factor to the tendency of rate of profit to fall. Oneoff research papers published by defence economics. For smith, defence is presented as one of the three big areas requiring the expenses of the sovereign or commonwealth, and therefore justifying state. Defense economics is now an established part of economics. Defense economics, field of national economic management concerned with the economic effects of military expenditure, the management of economics in. The common security and defence policy and ir theory. A famous economist born in vienna, austria, in 1899. This threevolume set presents over 100 of the most influential articles in defence economics, which have been selected for their enduring value and importance. We use cookies to collect information about how you use gov. Defence economics is a relatively new field within the discipline of economics. Theory, empirical and policy issues will be addressed within the broad area of defence and peace economics. This is an inputoutput relationship relating all defence inputs to defence output.