Military expenditure in developing countries raises complex questions regarding growth, development, security and governance. This chapter provides an analytical survey of the effects and causes of defense spending in developing economies. Using stylized facts, theoretical models and empirical...

This chapter reviews the empirical research on the relation between defense spending and economic growth. A broad flavor of the approaches adopted by different scholars is provided through a list of selected studies on the topic since 1973 and an outline of the variations over Benoit's original...