<[email protected]> wrote:
> Are you saying that the military spending had a positive effect on the 
> economy? The paper is saying that military spending has a negative effect. 
> Should military spending be included total production as a positive indicator 
> of the health of an economy.<

The "health of the economy" from what perspective? the National Income
and Product Accounts of the US present a capitalist perspective.[*] In
this view, anything which leads to revenues being received by business
contributes to economic health, as measured by GDP. Thus, just as with
all purchases of newly-produced goods and services on the market,
military spending within the boundaries of the US is counted as part
of US GDP.

However, I think in the long run, a good case can be made that
military spending drains the ability of a capitalist economy (or even
a self-described "socialist" economy as in the now-defunct USSR) to
increase its ability to produce real GDP. (I'm willing to be convinced
otherwise: after all, it's the Defense Department which produced the
Internet. But at what cost?)
-- 
Jim Devine /  "Reality is that which, when you stop believing in it,
doesn't go away." -- Philip K. Dick

[*] however, since at least in the short run, workers are dependent on
the health of the capitalists (for jobs, etc.), it's not a _totally_
capitalist perspective.
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