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For a Political Economy of Defense: Imperialist Wars and Their Links to the Crisis of Capital

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Confronting Mainstream Economics for Overcoming Capitalism

Part of the book series: Marx, Engels, and Marxisms ((MAENMA))

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Abstract

This chapter aims to analyze the relationship between the capitalist crisis and contemporary imperialist wars. We begin by demonstrating that neoclassicism is, whatever the methods it uses, incapable of accounting for the phenomenon of war, and that the studies it has undertaken in defense economics are disappointing. It is in heterodoxy that the most interesting works on the subject are to be found. For our part, we offer a Marxist economic perspective on the issue of war, insisting in particular on the control that high finance has now acquired over the military sector in the United States, which is a motive for the continuation of wars or threats of wars.

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Notes

  1. 1.

    This chapter is a brief synthesis of several works carried out by the author on the subject, in particular: Herrera (1994, 1998, 2000, 2001, 2007, 2010a, 2013a, b, c, 2015, 2021).

  2. 2.

    Among others: Leontief (1941), Schelling (1960), Samuelson (1983 [1947]), Arrow (1992), Arrow and Li (1993), Tinbergen (1990), Barro (1991), and Sen (1992).

  3. 3.

    See: Boulding (1962), Benoit and Boulding (1963), Benoit (1972), Isard (1988), and Intriligator (1990).

  4. 4.

    For surveys: Hartley and Sandler (2007) and Anderton and Carter (2007).

  5. 5.

    Herrera and Cicchini (2013). Original sources are from: U.S. Department of Defense (various years).

  6. 6.

    Stiglitz and Bilmes (2008).

  7. 7.

    Data published by the Stockholm International Peace Research Institute (SIPRI). See: https://www.sipri.org/media/press-release/2021/world-military-spending-rises-almost-2-trillion-2020. For further study, read the SIPRI yearbooks (Stockholm International Peace Research Institute [various years]).

  8. 8.

    For example, Knight et al. (1995).

  9. 9.

    International Monetary Fund (2003).

  10. 10.

    Nakatani and Herrera (2007).

  11. 11.

    Read: Mushakoji (2008).

  12. 12.

    For an overview on the concepts, methodological problems, and statistical sources related to military spending, read: Herrera (1994).

  13. 13.

    United Nations (1991) and International Monetary Fund (various years).

  14. 14.

    Here: Central Intelligence Agency (various years), U.S. Arms Control and Disarmament Agency (various years), International Institute for Strategic Studies (various years).

  15. 15.

    Stockholm International Peace Research Institute (various years).

  16. 16.

    For example, United Nations Institute for Disarmament Research (1992).

  17. 17.

    For general critical surveys on mainstream economics, see: Herrera (2006a, b, 2011).

  18. 18.

    The neoclassical methodology has been adopted by a very large majority of authors. By instance, and among a crowd of others: Alexander (1990), Ward et al. (1991), Antonakis (1999), Batchelor et al. (2000), and Yildirim et al. (2005), etc.

  19. 19.

    Tirole (1988).

  20. 20.

    See: Samuelson (1983) and Stiglitz (1988).

  21. 21.

    Stiglitz (1988).

  22. 22.

    Samuelson (1983).

  23. 23.

    For an ancient study: Kennedy (1987).

  24. 24.

    Aschauer (1989a, b).

  25. 25.

    See: Barro (1981, 1990, 1991).

  26. 26.

    Landau (1983, 1986, 1993). Also: Crespo Cuaresma and Reitschuler (2003).

  27. 27.

    Deger (1985, 1986a, b).

  28. 28.

    See: Feder (1983) and Ram (1985). Also: Biswas and Ram (1986).

  29. 29.

    Here: Herrera (1997).

  30. 30.

    Also: Herrera and Gentilucci (2013).

  31. 31.

    Herrera (2010a, 2012).

  32. 32.

    Nash (1950, 1951).

  33. 33.

    Herrera (1998b, 2010a, 2012). In these works, we attempted to combine—in a critical approach—analyzes in terms of endogenous growth theory and game theory.

  34. 34.

    Goff and Tollison (1990).

  35. 35.

    Buchanan and Tullock (1961). More recently, Buchanan and Musgrave (1999).

  36. 36.

    See: Buchanan (1975).

  37. 37.

    Such is the case of David Friedman, Milton Friedman’s son. See: Friedman (1973).

  38. 38.

    Squire and Van Der Tak (1975).

  39. 39.

    Rothbart (1973).

  40. 40.

    Leontief (1941).

  41. 41.

    Leontief and Hoffenberg (1961), Leontief et al. (1965), Leontief and Petri (1971), and Leontief and Duchin (1983), for example. For a survey on Leontief-inspired works applied to defense economics, see: Gentilucci (2010).

  42. 42.

    Turner (2004), and Günlük-Enesen (2007) for one of the most recent studies.

  43. 43.

    Like Bayoumi et al. (1993) and (1995).

  44. 44.

    Among others: Athanassiou et al. (2002).

  45. 45.

    Smith (1977, 1980).

  46. 46.

    Biswas and Ram (1986).

  47. 47.

    Deger and Sen (1995). Also: Broude et al. (2013). About the supply–demand relationships, see: Shieh et al. (2002), Galvin (2003), and Klein (2004).

  48. 48.

    Deger (1985).

  49. 49.

    Marx and Engels (1973), Band 17. By instance, among many examples, see: “Über den Krieg” by F. Engels. Available on: http://www.mlwerke.de/me/me17/me17_udk.htm.

  50. 50.

    For these three quotations, see, respectively, Marx (1980, 1972, 1978).

  51. 51.

    From the perspective of studying the revolutionary war, read: Mao (1968).

  52. 52.

    Here, e.g., Rubel (1997).

  53. 53.

    Cf. D.D. Eisenhower’s Farewell Address to the Nation on January 17, 1961. Excerpts from Paragraph IV of this speech. See: https://www.ourdocuments.gov/doc.php?flash=false&doc=90&page=transcript. Twenty years later, R. Reagan’s position was quite different, who said in 1981: “Government is not a solution to our problem; government is the problem.” Read: https://www.reaganfoundation.org/ronald-reagan/reagan-quotes-speeches/.

  54. 54.

    See: Cicchini and Herrera (2008).

  55. 55.

    Mampaey (2010).

  56. 56.

    See: Herrera (2010b).

  57. 57.

    Babst (1964).

  58. 58.

    Observatoire international de la Crise (2019).

  59. 59.

    Herrera (2015).

  60. 60.

    Foster and Magdoff (2009).

  61. 61.

    Observatoire international de la Crise (2019).

  62. 62.

    Avant (2005).

  63. 63.

    Schumacher (2006).

  64. 64.

    Johnson (2010).

  65. 65.

    Catalinotto (2017). See as well the website: http://ivaw.org/. And: http://appealforredress.org./index.php.

  66. 66.

    Herrera and Cicchini (2013).

  67. 67.

    Herrera (2021).

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Herrera, R. (2022). For a Political Economy of Defense: Imperialist Wars and Their Links to the Crisis of Capital. In: Confronting Mainstream Economics for Overcoming Capitalism. Marx, Engels, and Marxisms. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-05851-6_8

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