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Analysis of Defense Research Investment’s Economic Effects Based on External Theory

Author: XuRuiFang
Tutor: LiXiangQian
School: National University of Defense Science and Technology
Course: National Defense Economy
Keywords: Defense Research Investment Externalities Economic Effects
CLC: E0-054
Type: Master's thesis
Year: 2008
Downloads: 110
Quote: 0
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Abstract


The level of defense research investment’s economic effects is vital in the pross of changing China’s defense research capability into actual combat effectiveness, and it is also plays a important role in securing national security, improving scientific and technological levels and promoting the economic development of civilian departments. In recent years, countries around the world have generally made great efforts in increasing their defense research investment, and taken a lot of measures to enhance its economic effects. Nowadays, the disparity between countries’ military power is sharp, the world insecurity factors is increasing and the world economy is taking off ,so how to strengthen our defense research investment’s economic effects so as to obtain the political, military and economic interests in the world has become the most important issue before us. Thus, the analysis of defense research investment’s economic effects and its strategy then become the vital problem in theoretical circles. Thus, combinating of reality and using modern methods of Economics to study this issue has become extremely necessary. The defense research investment’s economic effects are mainly about its impact on economic growth. In this thesis, we firstly analysize such special "externalities" phenomenon of defense research investment’s economic effects in general and special ways; Then, we explore its mechanism, mainly including the analysis of its channels and the factors which would impact the economic effects; Next, we use the relevant data of United States to make a Empirical Analysis and Econometric test on the aforementioned theory; Finally, considering China’s actual situation, we analyze the causes of its"weak economic effects" in detail, then give four proposals on how to enhance its economic effects.

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CLC: > Military > Military theory > The relationship between military science and other sciences > Economics of Defense
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