10340. THE IMPACT OF MILITARY SPENDING ON ECONOMIC GROWTH: A STATISTICAL STUDY. Examines the relationship between military expenditures and economic growth, hypothesizing a negative correlation between military expenditures and economic growth as represented by GNP. Regression analysis supports the hypothesis and lends credence to the depletion school paradigm which states that growing defense spending diverts manpower, capital and technology from the private sector. 10 pages, 13 footnotes, 9 bibliographic sources.s. Includes a 6-page appendix with charts and graphs.