Abstract

This study focuses on the impact of military and nonmilitary spending and real interest rate on economic growth in Jordan from 2002 to 2022. The study adopted the quantitative approach, multiple linear regression model. The study data is analyzed quantitatively using Eviews 12 software. The results of the regression model estimation show that there is a negative association between military spending in Jordan and economic growth. When military spending increases by one unit, per capita gross domestic product (GDP) decreases by 1.57 units. However, there is a positive relationship between nonmilitary spending and economic development in Jordan. If nonmilitary spending grows by one unit, per capita GDP increases by 1.85 units. Moreover, the real interest rate in Jordan is negatively related to economic development.