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'While the two percent of GDP target is well-known, there is another equally, if not more, important target: at least 20 percent of total defence expenditure must be allocated to equipment' (Photo: Author)

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EU arms firms' shares skyrocket, sovereign bonds rise — here's why

There is a well-known saying that Nato was created to keep the United States in, Russia out, and Germany down.

For decades, the US has provided Europe with a military shield, often referred to as 'Pax Americana'.

However, this arrangement is becoming increa...

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'While the two percent of GDP target is well-known, there is another equally, if not more, important target: at least 20 percent of total defence expenditure must be allocated to equipment' (Photo: Author)

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Author Bio

Judith Arnal is a Spanish economist with the Real Instituto Elcano think-tank and the Centre for European Policy Studies.

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