The military influences economic development in many ways. On the negative side, the resource demands of the defense establishment compete with civilian demands. On the positive side, the military may increase security, which should lead to higher investment and growth. Finally, the military may indirectly foster economic development because of its "modernization perspective." This Note investigates the relationship among defense-related variables (e.g., military expenditure) and economic growth in sub-Saharan Africa. The author constructs a general econometric model and applies it to recent data (from 1971 through 1981) from 27 sub-Saharan African countries. The results clearly support the hypothesis that a well-equipped and well-trained army can induce additional investment, presumably through its security-enhancing effects.
This report is part of the RAND Corporation Note series. The note was a product of the RAND Corporation from 1979 to 1993 that reported other outputs of sponsored research for general distribution.
This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit www.rand.org/pubs/permissions.
The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.