Publication
2012
The paper investigates the trade-off between innovation and defense industrial policy. It presents an agent-based simulation model calibrated for the Norwegian defense industry that compares different policy scenarios and examines the effects of a pending EU market liberalization process. The paper finds that a scenario where national authorities focus on either international competitiveness or national defense and security objectives, is more Pareto efficient than a mixed strategy where policy makers pursue both international competitiveness and defense and security objectives. Under the conditions of the new EU liberalization regime, a stronger and more visible trade-off will emerge between international competitiveness and national defense and security objectives.
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English (PDF, 36 pages, 1.0 MB) |
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Author | Martin Blom, Fulvio Castellacci, Arne Martin Fevolden |
Series | NUPI Working Papers |
Issue | 801 |
Publisher | Norwegian Institute of International Affairs (NUPI) |
Copyright | © 2012 Norwegian Institute of International Affairs (NUPI) |