Prior scholarly analysis of Israeli military spending has focused on national security questions. We present a mathematical model incorporating security threats as well as electoral cycles and corporate profits. The parameters are estimated empirically. The results support the idea that in...

Prior studies of the guns-versus-butter trade-off have focused on total military expenditures and sub-components of welfare spending (education, health, and housing). I extend the analysis to include the major sub-components of the defense budget. The results are consistent with Clayton's;...

Multicollinearity is one of the major methodological problems in the study of the guns‐growth trade-off. In this paper, we use ridge regression to separate the effects of individual variables influencing economic growth in the United States. Ridge is not a new method, but to the best of our...

Studies of the guns versus butter trade-off found no evidence for the existence of a trade-off in the pre-Reagan era (see Russett 1982; Domke, Eichenberg, and Kelleher 1983; Mintz 1989). This study extends prior research by examining not only the direct, immediate effects of defense spending but also...