Economics Model Analysis of Defence Expenditure and Economic Growth in the US
- https://doi.org/10.2991/hss-26.2016.114How to use a DOI?
- Defence expenditure, Economic growth, ADF test, Cointegration analysis, Grainger causality test.
This paper expounds on the relationship between defence expenditure and economic growth. By selecting defence expenditure and economic indicators including GDP, gross value of imports and exports, fuel import and export value and foreign direct investment in the US from 1991 to 2010 as sample spaces, the paper is modeled on some analytical methods as ADF test, cointegration analysis and Grainger causality test. The paper analyzes the long-term equilibrium relationship between defence expenditure and economic growth, concluding that economic growth is the Granger cause of defence expenditure growth. Meanwhile, defence expenditure growth will have a positive impact on economic growth.
- © 2016, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Xiaolei Zheng AU - Ji Ren AU - Zhijun Feng PY - 2016/01 DA - 2016/01 TI - Economics Model Analysis of Defence Expenditure and Economic Growth in the US BT - Proceedings of the 2016 International Conference on Humanities and Social Science PB - Atlantis Press SP - 678 EP - 683 SN - 2352-5398 UR - https://doi.org/10.2991/hss-26.2016.114 DO - https://doi.org/10.2991/hss-26.2016.114 ID - Zheng2016/01 ER -