Özet:

Defense spending is a regular type of expenditure in many countries to provide the necessary level of security for countries to deal with internal and external threats. However, the ability to use the resources allocated from the state budget for defense in order to increase the development process in accordance with the purpose of reducing income inequality in a country creates various opportunity costs. In this context, the study examines the causal relationship between defense expenditures and income inequality in 9 Eurasian countries. In the study in which the 2000-2020 period was analyzed, the determination of the causal relationship between the variables was determined with the help of Bootstrap penel causality analysis. Results of Bootstrap panel causality analysis, unidirectional causality from defense expenditures to income inequality for Belarus, Georgia and Kyrgyzstan; It shows that there is a bidirectional causality relationship in Kazakhstan and Russia. On the other hand, no causal relationship was observed between defense expenditures and income inequality in Armenia, Moldova, Turkey and Ukraine. When evaluated in general, it is seen that the change in defense expenditures is effective in the differentiation in income distribution in the relevant countries.

Anahtar Kelimeler: