Özet:

As a mandatory public finance tool, there are theoretical and applied studies which research the effects of military expenditures on economic growth. This study also aims to investigate the relationship between military expenditures and economic growth by using the data of G7 countries. For this purpose, a Panel Data Analysis is handled over the dataset of Canada, Germany, France, England, Italy, Japan and United States of America for 1970-2017 period. In this analysis, real GDP is used as the dependent variable and military expenditures, export and gross capital formation are used as the independent variables. As a result of the econometric tests, it is determined that the Panel Data Analysis must be done by Driscoll-Kraay Standard Errors estimator. According to the results of the study, military expenditures affect economic growth positively in G7 countries.

Anahtar Kelimeler: