Template-type: ReDIF-Paper 1.0
Author-Name: José Jurado Sánchez
Author-Email: jurado@ccee.ucm.es
Author-Workplace-Name: Department of Economic History and Institutions I, Complutense University of Madrid.
Author-Workplace-Homepage: https://www.ucm.es/histecon1
Author-Workplace-Homepage: https://www.ucm.es/icae
Author-Name: Juan Ángel Jiménez Martín
Author-Email: juanangel@ccee.ucm.es
Author-Homepage: https://www.ucm.es/fundamentos-analisis-economico2/jajm
Author-Person: pji27
Author-Workplace-Name: Department of Quantitative Economics. Complutense University of Madrid. 
Author-Workplace-Homepage: https://www.ucm.es/fundamentos-analisis-economico2
Title: Guns, Economic Growth and Education during the second half of the Twentieth Century: Was Spain different?	

Abstract: In the past decades, numerous studies have been conducted on the trade-off between guns and butter, namely defense versus 
	social sector expenditure. The aim of this research is identifying whether indeed defense spending crowded out investment and 
	other social expenditures as health and education. Previous research does not yield strong and unambiguous evidence of neither 
	positive nor negative effects of military expenditure on social spending. It is striking that the guns versus butter dilemma 
	has not been extensively studied for Spain. Using Mintz and Huang (1991) strategy applied to the US, we test if the government 
	expenditure in defense in Spain during the last part of the Franco’s dictatorship and the first years of the transition and 
	democracy, contributed positively or negatively to education spending. Results show a negative trade-off for the Franco’s 
	regimen and an ambiguous effect for the last part of the sample.

Classification-JEL: H51, H52, H53, H56, N40, N44.

Keywords: Guns versus butter dilemma, Military spending, Economic growth and social expenditures, Education spending, Spain from 1950 
	to 2000. 

Note: This author acknowledges financial support from the Ministerio de Ciencia y Tecnología of Spain through the research project 
	ECO2012-31941.
Length: 25 pages 
Creation-Date: 2014-06  
Number: 2014-14 
X-File-Ref: http://america.sim.ucm.es/repec/ucm/ref/doicae1414.txt
File-URL: https://eprints.ucm.es/id/eprint/25744/1/1414.pdf
File-Format: Application/pdf
Handle: RePEc:ucm:doicae:1414