A standardized methodology for the measurement of defence spending

Presentation
The technical study described in this report was undertaken by
the Economic Commission for Latin America and the Caribbean (ECLAC);, in response
to a request by the Governments of Argentina and Chile for it to propose a
common standardized methodology for the measurement of defence spending. The
study, which was carried out between the fourth quarter of 1999 and August 2001
was funded by the two Governments concerned.
The first chapter of this report describes the background to the
initiative and the processes carried out by the parties involved. It also
briefly acknowledges the timeliness and importance of two publications to this
project: the National Defence Manual of Chile (1997);, and the National Defence
White Paper (1999); published by the Ministry of Defence of Argentina.
The report then discusses the main international sources of
public information on defence spending, analysing the methodological bases used
in each case to measure such expenditure; and it comments on the potentials and
difficulties involved in comparing defence expenditures between different
countries.
The third chapter, which constitutes the core of this ECLAC
secretariat study, presents a concrete proposal for a common standardized
methodology for the measurement of defence spending, taking into account the
particular characteristics of organizational structures in the Governments of
Argentina and Chile, and especially their armed forces. This proposal envisages
the measurement of defence spending in a sequence of ascending coverage levels,
based on qualitative and quantitative information obtained from the two
countries for the period 1996-1998.