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The sectoral composition and spatial distribution of Department of Defense services expenditures, 1979, 1982, and 1987

Jeffrey Randell Crump, University of Nebraska - Lincoln

Abstract

The purpose of this dissertation is to describe and analyze the sectoral and spatial distribution of Department of Defense (DOD) procurement of services and to find the relationship between DOD services expenditures and change in services employment, population, and income. It was discovered that defense procurement of services has, over the 1979-1987 period, increased faster than the overall defense budget. The findings also indicate that the sectoral composition of defense services procurement is concentrated in two categories: producer and equipment services. When the spatial distribution of defense producer services allocations was examined it was found that several eastern states, notably Virginia, Connecticut, and Massachusetts, receive a high proportion of these expenditures. States specializing in military-related manufacturing, such as California and Washington, also rank highly in receipts of DOD producer services expenditures. DOD equipment services procurement is allocated mainly to southern and western states, a distribution that indicates that these expenditures may be associated with both military manufacturing and base operations. The third largest category of DOD services procurement are the distributive services. Many of the states receiving high levels of distributive services procurement are in the South, implying that these expenditures may be linked to the activities at military bases. The spatial distribution of DOD producer services expenditures was relatively stable over the study period. And, while the spatial pattern of equipment and distributive services was less stable, overall, the geographic distribution of DOD services procurement exhibited a high degree of spatial continuity, supporting the incremental model of federal budget allocations. The relationship between percentage change in services procurement and percentage change in services employment, income, and population was described through regression analysis. However, in the statistical models used here, the relationship between services procurement and services employment, population, and income was found to be very weak. Overall, the results indicate that DOD services procurement is concentrated in those service sectors most critical to regional development. However, little statistical evidence was found to support the argument that these outlays are influencing state-level patterns of employment, population, and income growth.

Subject Area

Geography|Public administration

Recommended Citation

Crump, Jeffrey Randell, "The sectoral composition and spatial distribution of Department of Defense services expenditures, 1979, 1982, and 1987" (1989). ETD collection for University of Nebraska-Lincoln. AAI9013601.
https://digitalcommons.unl.edu/dissertations/AAI9013601

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