An area of huge concern to many people around the world, the economics of the Arms Industry are a vital strand that needs to be understood. This volume brings together contributors from all over the globe and focuses on this important area

This paper models the determination of the defence industrial base - the number of different military systems a country decides to maintain. High R&D costs means that few countries can afford to produce major weapons systems and the producers also import systems. Non-producers rely on imports...

In this paper, we construct a model of market structure in the global arms industry linking concentration, military procurement, international trade and regional conflict. We show how concentration depends on the willingness of producers to import for their military needs and on the relative...

Multinational arms export control has been the subject of discussion in a variety of fora, from the United Nations through to the Wassenaar group of arms producers. It is widely recognised that free trade in arms can have negative externalities on national security and there are benefits from...

Given that there are a relatively small number of suppliers of major weapons systems, control fo arms exports is possible, and there are a variety of regulatory regimes striving to achieve this. Controls can stabilize regional arms races and reduce tensions. However, when buyers can develop the...

We present a model of transnational terrorism where two countries, home and foreign, face a terrorist threat based in the foreign country. The home country chooses how much to invest in defending itself or in reducing terrorist resources either indirectly by subsidising the foreign country or by...

We present a model of transnational terrorism where two countries, home and foreign, face a terrorist threat based in the foreign country. The home country chooses how much to invest in defending itself or in reducing terrorist resources either indirectly by subsidising the foreign country or by...

The end of the Cold War led to a large drop in world military expenditure, rising fixed costs of developing weapons because of technological changes and a reduction of national preference for domestic weapons. Alongside these developments has been an increase in concentration in the world arms...

This paper constructs a dynamic model of the arms trade in which there are a small number of suppliers who care about the profits from the trade and the security consequences of the sale and a large number of interacting buyers who are concerned about their security relative to regional rivals....