Military Versus Non-Military Government Spending and the Shadow Economy
Posted: 29 Oct 2015 Last revised: 19 Apr 2016
Date Written: 2014
Abstract
Using recent cross-national data, this research examines the determinants of the shadow economy, focusing on the relative effects of military and non-military government spending. Results show that, other things being the same, nations with larger military spending have smaller shadow economies, while the effect of non-military government spending is statistically insignificant. These findings stand up to various robustness checks.
Keywords: Military spending, Non-military spending, Shadow economy, Government, Regulation
JEL Classification: K42, O50, P48
Suggested Citation: Suggested Citation
Goel, Rajeev K. and Saunoris, James W., Military Versus Non-Military Government Spending and the Shadow Economy (2014). Economic Systems, Vol. 38, No. 3, pp.350-359, 2014. Available at SSRN: https://ssrn.com/abstract=2682528
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.
