IDEAS home Printed from https://ideas.repec.org/a/ssi/jouird/v3y2021i2p282-288.html
   My bibliography  Save this article

Conditions influencing the change of defense budgets - the case of Lithuania

Author

Listed:
  • Gediminas Dubauskas

    (General Jonas Žemaitis Military Academy of Lithuania, Lithuania)

Abstract

During the so-called Cold War the financing of the defense budget was widely discussed. The issue of financing the defense budget was widely discussed during the arms race. Since the end of the Cold War, armed conflicts have become more complex, and their causes are even more diverse than during the Cold War. They were caused by the deterioration of inter-ethnic divisions, hybrid and cyber wars over energy resources and the activities of terrorist groups. Due to the changing security dimension, a new study was conducted examining the determinants of defense spending in a changing security environment: the creation of new islands in the South China Sea to expand China's military-political power in the region; the possibility of using North Korea's nuclear energy. weapons, Russia's military maneuver in the conflict in Ukraine, its naval operation in the Black Sea, the occupation of Crimea, military operations in Syria, a change in U.S. military doctrine. The state that has spent the most military spending is returning to the creation of large military units, and to do so, the country needs to increase defense spending. Looking at how these world events work, we see one component that connects them. Strong force, expressed in military action, is used to achieve their political goals. Military power is gaining more and more influence in the formation of foreign policy, therefore the defense budget, as an instrument of foreign policy expressed in military power, is becoming an increasingly relevant object of research. Lithuania's defense budget is not as important to world politics as the United States, China or other major countries in the world, but it is relevant and significant in its region. Expenditures on the Lithuanian military budget began to increase significantly by two thousand and fourteen. It can be argued that the factor that has now influenced cost growth is Russia's military aggression in Ukraine. Nevertheless, in 2008 Russia's aggression in Georgia did not affect the growth of Lithuania's defense budget. 2008 The economic crisis may have influenced Lithuania's decision not to increase military spending. Some pressure on the country's defense budget is also related to the 2020 Pandemic crisis. The question arises as to why seemingly similar conflicts affect Lithuanian political decisions differently.

Suggested Citation

  • Gediminas Dubauskas, 2021. "Conditions influencing the change of defense budgets - the case of Lithuania," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 3(2), pages 282-288, June.
  • Handle: RePEc:ssi:jouird:v:3:y:2021:i:2:p:282-288
    DOI: 10.9770/ird.2021.3.2(8)
    as

    Download full text from publisher

    File URL: https://jssidoi.org/ird/uploads/articles/10/Dubauskas_Conditions_influencing_the_change_of_defense_budgets__the_case_of_Lithuania.pdf
    Download Restriction: no

    File URL: https://jssidoi.org/ird/article/72
    Download Restriction: no

    File URL: https://libkey.io/10.9770/ird.2021.3.2(8)?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Murdoch, James C. & Sandler, Todd, 1984. "Complementarity, free riding, and the military expenditures of NATO allies," Journal of Public Economics, Elsevier, vol. 25(1-2), pages 83-101, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Thomas Plümper & Eric Neumayer, 2015. "Free-riding in alliances: Testing an old theory with a new method," Conflict Management and Peace Science, Peace Science Society (International), vol. 32(3), pages 247-268, July.
    2. Bove Vincenzo & Elia Leandro & Pelliccia Marco, 2016. "Centrality in Trade Networks and Investment in Security," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 22(1), pages 27-39, January.
    3. David Rietzke & Brian Roberson, 2013. "The robustness of ‘enemy-of-my-enemy-is-my-friend’ alliances," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 40(4), pages 937-956, April.
    4. Dan Kovenock & Brian Roberson, 2012. "Coalitional Colonel Blotto Games with Application to the Economics of Alliances," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 14(4), pages 653-676, August.
    5. Ismael Sanz & Francisco Javier Velázquez, 2002. "Determinants of the Composition of Government Expenditure by Functions," European Economy Group Working Papers 13, European Economy Group.
    6. Kyle, Margaret K. & Ridley, David B. & Zhang, Su, 2017. "Strategic interaction among governments in the provision of a global public good," Journal of Public Economics, Elsevier, vol. 156(C), pages 185-199.
    7. Johannes Blum & Niklas Potrafke, 2020. "Does a Change of Government Influence Compliance with International Agreements? Empirical Evidence for the NATO Two Percent Target," Defence and Peace Economics, Taylor & Francis Journals, vol. 31(7), pages 743-761, October.
    8. Antonio Martínez González & Nuria Rueda López, 2013. "A Productivity And Efficiency Analysis Of The Security And Defence Technological And Industrial Base In Spain," Defence and Peace Economics, Taylor & Francis Journals, vol. 24(2), pages 147-171, April.
    9. Radulescu, Doina & Sulger, Philippe, 2022. "Interdependencies between countries in the provision of energy," Energy Economics, Elsevier, vol. 107(C).
    10. Harrison, Mark, 2011. "Capitalism at War," CAGE Online Working Paper Series 60, Competitive Advantage in the Global Economy (CAGE).
    11. Bruce Linster & Richard Fullerton & Michael Mckee & Stephen Slate, 2001. "Rent-seeking models of international competition: An experimental investigation," Defence and Peace Economics, Taylor & Francis Journals, vol. 12(4), pages 285-302.
    12. Minoru Okamura, 2022. "Identifying the public goods allocation process: case of the North Atlantic Treaty Organization," Empirical Economics, Springer, vol. 63(3), pages 1707-1726, September.
    13. Goo, Young-Wan & Lee, Seong-Hoon, 2014. "Military Alliances and Reality of Regional Integration: Japan, South Korea, the US vs. China, North Korea," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 29, pages 329-342.
    14. Christos Kollias & Suzanna-Maria Paleologou, 2003. "Domestic political and external security determinants of the demand for greek military expenditure," Defence and Peace Economics, Taylor & Francis Journals, vol. 14(6), pages 437-445.
    15. Karl Skogstad, 2016. "Defence budgets in the post-Cold War era: a spatial econometrics approach," Defence and Peace Economics, Taylor & Francis Journals, vol. 27(3), pages 323-352, June.
    16. Johannes Blum & Niklas Potrafke, 2019. "Internationale Abkommen und Regierungswechsel: Evidenz zum NATO-Zwei-Prozent-Ziel," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 72(03), pages 18-21, February.
    17. Tammy Leonard, 2016. "Housing Upkeep and Public Good Provision in Residential Neighborhoods," Housing Policy Debate, Taylor & Francis Journals, vol. 26(6), pages 888-908, November.
    18. Caruso Raul & Di Domizio Marco, 2015. "The Impact of US Military Spending on Public Debt in Europe (1992–2013): A Note," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 21(4), pages 459-466, December.
    19. Raul Caruso & Marco Di Domizio, 2016. "Interdependence between US and European military spending: a panel cointegration analysis (1988-2013)," Applied Economics Letters, Taylor & Francis Journals, vol. 23(4), pages 302-305, March.
    20. Justin George & Todd Sandler, 2022. "NATO defense demand, free riding, and the Russo-Ukrainian war in 2022," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 49(4), pages 783-806, December.

    More about this item

    Keywords

    North Atlantic Treaty Organization (NATO); defence spending; sustainability; security; financial management;
    All these keywords.

    JEL classification:

    • H60 - Public Economics - - National Budget, Deficit, and Debt - - - General
    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • G10 - Financial Economics - - General Financial Markets - - - General (includes Measurement and Data)
    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ssi:jouird:v:3:y:2021:i:2:p:282-288. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Manuela Tvaronaviciene (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.