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Defence and Peace Economics Volume 21, 2010 - Issue 2
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Original Articles

FIGHTING TERRORISM: ARE MILITARY MEASURES EFFECTIVE? EMPIRICAL EVIDENCE FROM TURKEY

Mete Feridun Department of Banking and Finance, Faculty of Business and Economics, Eastern Mediterranean University, TurkeyCorrespondence[email protected]
&
Muhammad Shahbaz Centre for Research, Department of Management Sciences, COMSATS Institute of Information Technology, Lahore, Pakistan
Pages 193-205 | Received 11 Jan 2008, Accepted 15 Sep 2009, Published online: 30 Apr 2010
 
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Abstract

The present article aims at investigating the causal relationship between defense spending and terrorism in Turkey using the Autoregressive Distributed Lag (ARDL) bounds testing procedure and Granger‐causality analysis. The findings reveal that there exists a unidirectional causality running form terrorist attacks to defense spending as expected, but not vice versa. In the light of this finding it can be inferred that military anti‐terrorism measures alone are not sufficient to prevent terrorism.

JEL Codes:

Notes

1 See Gupta et al. (Citation2004).

2 See Rodoplu et al. (Citation2003).

3 See Feridun (Citation2008) for an analysis of the Turkish economy.

5 We decided about lag length on the basis of SIC.

6 Terör faturasi (Citation2006).

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