F1IS 4140 - Defense Economics (Lecture)

Defence economics applies economic theories to defence issues. It uses the tools of economics (theoretical models, econometrics, appraisal methods, etc.) but also draws on other disciplines (political science, history, law, management, etc.). The course will address specific topics in each session as follows:

1 : Introduction to Defence Economics
2 : Defence Expenditures: Budgets and Data
3 : Demand for Military Expenditures
4 : Arms Transfers
5 : War Economy and Economic Warfare
6 : Military Spending and the Burden Sharing Debate
7 : The Economics of Defence Innovation
8 : Economic Impacts of Defence Spending
9 : Introduction to Geoeconomics
10 : Defence Industry
11 : Industrial Policy in the Defence Sector
12 : State Aid and Public Procurement in the Defence Sector

Learning Outcomes:
1. Define and analyze key theoretical concepts in defence economics
2. Understand the historical background and national specificities
3. Present recent empirical research
4. Build a critical understanding of major contemporary defence economic issues
5. Define and conduct literature-based research and construct a corpus of sources.

Professional Skills:
1. Gain introductory understanding of major research questions in the field of defence economics and in the application of economics to broader international security issues
2. Acquire analytical thinking, and the ability to understand defence economics research articles from a qualitative and conceptual perspective
3. Learn to apply economic reasoning to understand defence policy questions

Cindy DU BOIS,Edward CHRISTIE,Eva SZEGO,Caroline BUTS

Cours magistral seul

English

- In Class Presence: 2 hours a week / 24 hours a semester
- Reading and Preparation for Class: 4 hours a week / 48 hours a semester - Research and Writing for Individual Assessments: 24 hours

Basic concepts in economics and statistics. Reminders will be given for each concept used.

Autumn 2024-2025

A mid-term written exam (accounting for 40% of the final grade) and a final written exam (60%), will be both administered online.
The mid-term exam shall be held after Session 6 of the course (after 25 October 2024) and will test for the contents presented in Sessions 1-6 of the course.
The mid-term exam will present students with 4-6 questions requiring analysis of qualitative and quantitative facts representing a real or hypothetical defence policy situation.
The final exam shall be held after Session 12 of the course (date TBC) and will test for the entire contents of the course.
The final exam will ask students to carry out a comparative case study of two real or hypothetical national cases, addressing multiple defence economic questions at both the macroeconomic and defence industry levels.

The lecturers will take turns providing the lectures in person, allowing for short Q&A sessions during lectures. The lecturers, supported by the teaching assistant, will be available by email and through Moodle throughout the course. The lecturers will also send feedback to the students after both the mid-term and final exams.