Abu-Qarn, A. S., Dunne, J. P., Abdelfattah, Y. and Zaher, S.
The demand for military spending in Egypt.
Defence and Peace Economics.
- Submitted Version
Publisher's URL: http://dx.doi.org/10.1080/10242694.2013.763454
Egypt plays a pivotal role in the security of the Middle East as the doorway to Europe and its military expenditure reflects its involvement in the machinations of such an unstable region, showing considerable variation over the last forty years. These characteristics make it a
particularly interesting case study of the determinants of military spending. This paper presents such a study, estimating an econometric model of the Egyptian demand for military spending, taking into account important strategic and political factors. Both economic and strategic factors
are found to play a role in determining military burden, with clear positive effects of lagged military burden, suggesting some sort of institutional inertia, plus negative output and net imports effects. The main strategic effect is the impact of Israel’s military burden, with no effect for that of the Jordanian and Syrian allies, but the results also suggest that simple arms race
relationships are not an adequate representation of the relevant strategic factors.
|Additional Information:||This is a preprint of an article submitted for consideration in the Defence and Peace Economics (2010) [copyright Taylor & Francis]; Defence and Peace Economics is available online at:
Published online: 25 Feb 2013|
|Uncontrolled Keywords:||Egypt, demand for military expenditure, political determinants, strategic determinants|
|Faculty/Department:||Faculty of Business and Law > Department of Accounting, Economics and Finance|
Professor J. Dunne
|Deposited On:||06 Jan 2011 09:55|
|Last Modified:||16 Nov 2013 16:16|
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