IMF statistics show drop

Published: Monday 15 November 1993

INTERNATIONAL Monetary Fund statistics show military spending in the world, excluding the countries of the former Soviet Union, fell from 3.9 per cent of global gross domestic product (GDP) in 1986 to 3.1 per cent in 1992. The fund predicts a further decline to 2.3 per cent of global GDP by 1998, with an especially sharp drop of 40 per cent in US military expenditure.

The IMF research shows such spending cuts initially reduce economic growth, but big gains accrue in the long term to the entire global economy.

Subscribe to Weekly Newsletter :

Comments are moderated and will be published only after the site moderator’s approval. Please use a genuine email ID and provide your name. Selected comments may also be used in the ‘Letters’ section of the Down To Earth print edition.