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Defense Spending and the Economy

Defense Spending and the Economy

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While the potential impact of across-the-board federal defense spending cuts on national security may
be up for debate, a new study published by the Mercatus Center at George Mason University finds dire
predictions of these cuts’ impact on the economy and jobs grossly overblown.
While the potential impact of across-the-board federal defense spending cuts on national security may
be up for debate, a new study published by the Mercatus Center at George Mason University finds dire
predictions of these cuts’ impact on the economy and jobs grossly overblown.

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04/30/2014

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Copyright © 2013 Robert Barro, Veronique de Rugy,and the Mercatus Center at George Mason University Mercatus CenterGeorge Mason University 3351 Fairfax Drive, 4th Floor Arlington, VA 22201-4433(703) 993-4930mercatus.org Release date: May 7, 2013
aBoUt the meRcatUs centeR at geoRge mason UniVeRsity
The Mercatus Center 
at George Mason University is the world’s premieruniversity source for market-oriented ideas—bridging the gap between academicideas and real-world problems. A university-based research center, Mercatus advances knowledge about howmarkets work to improve people’s lives by training graduate students, conduct-ing research, and applying economics to offer solutions to society’s most pressing problems.Our mission is to generate knowledge and understanding of the institutions thataffect the freedom to prosper and to find sustainable solutions that overcome the barriers preventing individuals from living free, prosperous, and peaceful lives.Founded in 1980, the Mercatus Center is located on George Mason University’s Arlington campus.www.mercatus.org 
 
aBoUt the aUthoRs
Robert Barro
is Paul M. Warburg Professor of Economics at Harvard University,a senior fellow of the Hoover Institution of Stanford University, and a researchassociate of the National Bureau of Economic Research. He earned his PhD in eco-nomics from Harvard University and his BS in physics from the California Instituteof Technology. Barro is coeditor of Harvard’s
Quarterly Journal of Economics
andwas recently president of the Western Economic Association and vice presidentof the American Economic Association. He was also a viewpoint columnist for
 Businessweek
from 1998 to 2006 and a contributing editor of the
Wall Street Journal
 from 1991 to 1998. He has written extensively on macroeconomics and economicgrowth. His recent books include
 Macroeconomics: A Modern Approach
,
 EconomicGrowth
(second edition, written with Xavier Sala-i-Martin),
 Nothing Is Sacred: Economic Ideas for the New Millennium
,
 Determinants of Economic Growth
, and
Getting It Right: Markets and Choices in a Free Society
.
 Veronique de Rugy
is a senior research fellow at the Mercatus Center at GeorgeMason University. Her popular weekly charts, published by the Mercatus Center,address economic issues ranging from lessons on creating sustainable economicgrowth to the implications of government tax and fiscal policies. She has testifiednumerous times in front of Congress on the effects of fiscal stimulus, debt and defi-cits, and regulation of the economy. De Rugy writes regular columns for
 Reason
magazine and the
Washington Examiner
, and blogs about economics at NationalReview Online’s
The Corner
and at
 Big Government
. She received her PhD in eco-nomics from the University of Paris 1 Pantheon-Sorbonne, and did postdoctoralwork on tax revolt at George Mason University.

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