%0 Journal Article %T An Empirical Investigation of External Debt - Military Expenditure Nexus in Bangladesh %A Khalid ZAMAN %A Qazi Shujaat MAHMOOD %A Muhammad Mushtaq KHAN %A Awais RASHID %J Economia : Seria Management %D 2012 %I Editura ASE %X The objective of this paper is to empirically investigate a two-way statistical relationship between the real external debt and real military expenditure in the context of Bangladesh. A time series co-integration and Granger causality tests have been employed from 1980 - 2009 for analysis. The empirical results support the bi-directional causality between the external debt and economic growth, while unidirectional causality runs from military spending to external debt. %K Bangladesh %K Cointegration %K Granger causality %K Real Arms import %K Real External debt %K Real Military expenditure %U http://www.management.ase.ro/reveconomia/2012-1/14.pdf