The essence of defense industry and government defense spendings

This article contains definition of defense industry and description of its main functions, common arguments for and against government defense spending. Analysis of internationally used methods of measuring government's defense spending impact on country economy shows that, the key indicators are multiplier, describing GDP growth upon investing in defense industry, and amount of workplaces created in economy. In paper also described qualitative short-term and long-term benefits of investing in defense industry.