Abstract:
The main purpose of this study is to analyze the efficiency and total factor
productivity (MTFP) of the 12 defense industries in NATO and the
EUROZONE with the data of the 2013-2017 period. GDP, defense
expenditures, import for the defense industry and logistics performance index
were used as input variables; while total sales and export values of defense
industry were used as output variables in accordance with the data acquired
from World Bank (WB) and SIPRI. Static DEA and MTFP were applied to data.
According to findings of the CCR models; the USA, UK, France, Germany,
Spain, and Netherland were observed as efficient DMUs in all years; whereas
the other six countries were inefficient ones. Additionally, according to BCC
model, only Turkey and Canada were observed as inefficient ones for five
years. MTFP analysis revealed that Turkey and Germany were the two
countries experiencing TFP in all periods.
