Beta
165846

The Causal Relationship between Military Expenditure and Economic Growth in Egypt during the period from 1980 to 2019

Article

Last updated: 04 Jan 2025

Subjects

-

Tags

-

Abstract

This study aimed to analyze the causality relationship between military expenditure and economic growth in Egypt during the period from 1980 to 2019.  The study used the Autoregressive Distributed Lag ARDL (bounds test) approach to test the long-run relationships between the study's economic variables (GDP, military expenditure, and fixed capital Formation). also the study used Granger causality and Toda-Yamamoto (TY) methodology to conduct the causality test. The study's main findings are that there is a unidirectional causality relationship between these variables, where: military expenditure does not cause GDP, however GDP causes military expenditure. And military expenditure does not cause fixed capital; however, fixed capital causes military expenditure. And fixed capital causes GDP, however GDP does not cause fixed capital. Having regard to this study's findings, the study recommend that the Egyptian Government should ensure that the country's economic resources are allocated optimally to all sectors to achieve both the maximum amount of economic growth and the efficient utilization of the available resources. 

DOI

10.21608/jsec.2021.165846

Keywords

Military Expenditure, GDP, ARDL approach, Granger causality, Toda-Yamamoto (TY) methodology

Authors

First Name

عبدالعزيز عبدالمجيد

Last Name

علي

MiddleName

-

Affiliation

عضو هيئة تدريس - قطاع الاقتصاد والميزانية- معهد الإدارة العامة- الرياض- المملکة العربية السعودية

Email

hamedalia@ipa.edu.sa

City

الرياض

Orcid

-

Volume

51

Article Issue

3

Related Issue

23825

Issue Date

2021-10-01

Receive Date

2021-03-20

Publish Date

2021-04-22

Page Start

701

Page End

734

Print ISSN

2636-2562

Link

https://jsec.journals.ekb.eg/article_165846.html

Detail API

https://jsec.journals.ekb.eg/service?article_code=165846

Order

15

Type

المقالة الأصلية

Type Code

914

Publication Type

Journal

Publication Title

المجلة العلمية للإقتصاد و التجارة

Publication Link

https://jsec.journals.ekb.eg/

MainTitle

The Causal Relationship between Military Expenditure and Economic Growth in Egypt during the period from 1980 to 2019

Details

Type

Article

Created At

22 Jan 2023