Proponents of arms control and disarmament are often confronted with the argument that reductions in defense expenditure lead to cutbacks in military industries and thus to economic hardship. While a reduction in defense production would cause some economic dislocation, this would be mitigated by the ability of the economy to adapt to changing patterns of production. This book, first published in 1983, assesses the likely effects of reductions in defense industries by an examination of the roles these industries play in national economies. Each chapter discusses industry employment, output, research and development, capital value, profitability, concentration and competition, internal organization and regional employment concentration. Other questions considered include the economic importance of weapons exports, the defense industry as a ‘leading edge’ in maintaining national technological capabilities, and the reliance of individual firms on defense contracting.
Preface Milton Leitenberg and Nicole Ball Introduction: The Military and the Economy Frank Blackaby 1. The United States Judith Reppy 2. The Soviet Union David Holloway 3. France Edward A. Kolodziej 4. The Federal Republic of Germany Michael Brzoska 5. Sweden Per Holmström and Ulf Olsson 6. Czechoslovakia Stephen Tiedtke 7. Italy Sergio A. Rossi 8. China Sydney Jammes 9. Israel Gerald Steinberg 10. Developing Countries Herbert Wulf Appendix 1: The United Kingdom Nicole Ball Appendix 2: Use of Raw Materials for Military Purposes Milton Leitenberg