Study on the Evolution of Defense Expenses in Nato Member States for the Period 2010–2020. “Free Rider” behavior among Allies

Abstract This paper proposes a longitudinal study on the analysis of defense spending of NATO member states in the years 2010-2020. It also aims to identify the emergence of a possible “free-rider” behavior among alliance members. This behavior occurs when some members may be tempted to allocate a low level of defense spending. Defense spending is an important component of each state’s budget, which ensures a vital function of states, namely the national defense function. When the defense is carried out in military-type alliances, and the number of members is large, there is an increased possibility of observing a “free-rider” type behavior between the members of the alliances. To observe t…