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The Relationship between Military Expenditures and Economic Growth: Panel Data Analysis for G-20 Countries

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  • Kutluk KaÄŸan Sümer

    (Ä°stanbul Ãœniversitesi)

Abstract

As though it is a frequently researched topic that the relationship between military expenditures and economic growth, it is ignored that the level of military expenditures of countries based on their rival and allied countries or international organizations which they are members. Accordingly, in study, the relationship between military expenditures and economic growth is examined with the panel data analysis for 19 G-20 countries. In this study two groups of Panel data models are applied. First panel group is military exporter. Second is military importer. The results of study support that feedback hypothesis exists for the U.S., growth hypothesis is valid for G-20 Countries and Turkey.

Suggested Citation

  • Kutluk KaÄŸan Sümer, 2016. "The Relationship between Military Expenditures and Economic Growth: Panel Data Analysis for G-20 Countries," Eurasian Business & Economics Journal, Eurasian Academy Of Sciences, vol. 6(6), pages 62-73, February.
    • Handle: RePEc:eas:buseco:v:6:y:2016:i:6:p:62-73
    DOI: 10.17740/eas.econ.2016.V6-06
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