The demand for military spending in NATO member countries

Abstract

The purpose of this paper is to analyse the determinants of military spending in the NATO countries after terrorist attacks on the USA in 2001.The results of the paper classify those determinants into groups of economic factors, political factors and military factors. Authors selected data characterizing the determinants of military spending in NATO countries and created classification of countries by means of classification trees. The results of classification reveal disparities between NATO member countries in the analysed period from 2002 to 2013.