Obstacles to redeployment of military resources for peaceful applications
Other Names:
Rigidity in rechannelling reduced expenditure on defence Peace recession Resistance to conversion from arms manufacture to a peaceful economy Unforthcoming peace dividend
Nature:
Resources currently employed in defence industries, weapons research and military activities cannot be redeployed quickly or easily into other economic sectors or to other countries in the form of increased aid. The obstacles to such redeployment include the way in which many jobs are currently tied to such expenditures, especially in economies with high unemployment.
Incidence:
In the case of the USA, dependence of the economy on military expenditure has created fears that a peace dividend might cause a peace recession. Approximately 20,000 defence contractors (and 100,000 sub-contractors) are engaged on defence projects with some 8 million Americans receiving salaries associated with some form of military activity. Advocates of increased defence spending argue that it leads to more jobs and a healthier economy.