Weapon Export, Economy, and Environmental Green Productivity-A Case Study of the United States of America

Abstract

To elucidate the comprehensive ramifications of weapon export from the United States of America (US) on its economy and environmental conditions, this study adopted the Entity-Based Global Malmquist-Luenberger (EBM-GML) framework to quantify Green Total Factor Productivity (GTFP) as a proxy for green economic performance. This approach enabled a comprehensive assessment of the economic and environmental benefits stemming from weapon production and export activities. Subsequently, a Vector Auto-Regression (VAR) model was formulated to investigate the dynamic interplay between weapon export and the economy as well as the environment in the target country. The findings of this research indicate that weapon export exerts a favorable influence on the green economy, manifesting in the promotion of macroeconomic growth and the enhancement of GTFP at the microeconomic level.