## Corruption and Military Spending

_IMF Working Papers, January 1, 2000_

## Source details

**Canonical URL:** [Corruption and Military Spending](https://www.imf.org/en/publications/wp/issues/2016/12/30/corruption-and-military-spending-3425)

## Other formats

- [Markdown version](/en/publications/wp/issues/2016/12/30/corruption-and-military-spending-3425/index.md)
- [Structured JSON version](/en/publications/wp/issues/2016/12/30/corruption-and-military-spending-3425/index.json)
- [Bundle manifest](/en/publications/wp/issues/2016/12/30/corruption-and-military-spending-3425/bundle-manifest.json)

## Bibliographic details
- Published: January 1, 2000
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451844030.001

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### Summary and Research Question
- Anecdotal evidence relates corruption with high levels of military spending.
- This paper tests empirically whether such a relationship exists.

### Data and Methodology
- Empirical analysis is based on data from four different sources for up to 120 countries in the period 1985–98.
- The association between military spending and corruption is ascertained by using panel regression techniques.

### Key Findings
- The results suggest that corruption is indeed associated with higher military spending as a share of both GDP and total government spending.
- Corruption is also associated with higher arms procurement in relation to GDP and total government spending.
- This evidence indicates that defense spending can be considered for constructing governance indicators.

### Policy Implications and Interpretation
- Defense spending measures may be informative inputs when constructing governance and corruption indicators.
- The empirical association implies that anti-corruption efforts and public expenditure oversight could be relevant to managing military spending efficiency and composition.

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## Content in this bundle

- **Corruption and Military Spending - WP/00/23**
  - [Corruption and Military Spending - WP/00/23 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2000/_wp0023.pdf.md){rel="alternate" type="text/markdown"}
  - [Corruption and Military Spending - WP/00/23 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2000/_wp0023.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/30/corruption-and-military-spending-3425_