Has the Free‐Rider Problem Been Improved in <scp>NATO</scp>? Evidence From a Novel <scp>TVP</scp>‐<scp>VAR</scp>‐Based Connectedness Approach
Journal: Scottish Journal of Political Economy
Year: 2025

ABSTRACT Previous studies have offered static evidence of free‐riding behavior in military alliances; however, dynamic evidence remains largely unexplored. To address this gap, this study employs a time‐varying parameter vector autoregressive (TVP‐VAR) connectedness approach. This method provides dynamic insights, allowing us to identify unusual shifts in military spending dependence among NATO member states over time. Using this method, we observe a significant anomaly in March 2014, when Crime