Arms Trade and Economic Development: Theory, Policy Cases in Offsets

With the US invasion of Iraq, the issue of arms trading is once again at the forefront of world events. Arms-importing countries often ask their suppliers to 'offset' the cost by reinvesting some of the money in their country. Countries that spend scarce resources to import arms from abroad often require arms sellers to 'reinvest' part or all of the proceeds back into the arms-importing country. These so-called 'arms trade offsets' are therefore thought to enhance domestic economic development. But does this process actually succeed? This book examines the theory and policy applications of arms trade offsets and looks at more than a dozen case studies drawn from across Europe, Africa, Asia, and the Americas. The chapters, based on original research and published here for the first time, are all written by leading experts. That an impressive, lucid and cohesive volume such as this will interest defence economists can be taken almost for granted. The book will also be a useful and enlightening read for those interested in international development economics, military studies and policy-makers across the globe.