The Effects of Defense Expenditure on Economic Growth of Pakistan

Authors

Muhammad Zubair(1) Muhammad Zubair Corresponding author Affiliation MPhil Scholar, Department of Economics, Qurtuba University of Science & Information Technology, Peshawar, Khyber Pakhtunkhwa, Pakistan Email addresszmuhammad.khan7@gmail.com Other articles by this author , Samreen Khan Wazir(2) Samreen Khan Wazir Affiliation Editorial Assistant, Associated Press of Pakistan, Islamabad, Pakistan Other articles by this author , Aminullah(3) Aminullah Affiliation MPhil Scholar, Department of Economics, Qurtuba University of Science and Information Technology, Peshawar, Khyber Pakhtunkhwa, Pakistan Other articles by this author , Saman Ubaid(4) Saman Ubaid Affiliation Department of Economics, Women University Swabi, Khyber Pakhtunkhwa, Pakistan Other articles by this author

  1. MPhil Scholar, Department of Economics, Qurtuba University of Science & Information Technology, Peshawar, Khyber Pakhtunkhwa, Pakistan
  2. Editorial Assistant, Associated Press of Pakistan, Islamabad, Pakistan
  3. MPhil Scholar, Department of Economics, Qurtuba University of Science and Information Technology, Peshawar, Khyber Pakhtunkhwa, Pakistan
  4. Department of Economics, Women University Swabi, Khyber Pakhtunkhwa, Pakistan

https://doi.org/10.36923/jcmi.v5i2.618

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Abstract

The main aim of this paper is to analyze the effect of defense expenditure on output growth of Pakistan and used series data from 1975 to 2018 period. The study used the ARDL techniques to analyze the data and the ECM was also used to check the convergence to the long run (LR) equilibrium. This study found that Defense expenditure (DE) has positive and noteworthy impact on output growth. The study concluded that the defense expenditure was mandatory to influence the economic growth (GGDP) of Pakistan. The study recommended that the government should be to promote economic growth which in turn provides resources to finance defense expenditures and spend more on the defense sector to achieve higher economic growth, create a peaceful environment.

Article information

Section
Articles
Issue
Vol. 5 No. 2 (2024)
Submitted
April 11, 2025
Accepted
April 17, 2025
Published
December 30, 2024
Corresponding author
Muhammad Zubair
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