Economic Implications Of Rising China On Economic And Security Of Southeast Asia

The majority of research on the relationship between Military Expenditure and Economic Growth in developing countries found a pattern of negative relation.But interestingly,the fact of Southeast Asian(as a developing region)shows that two variables grow simultaneously.Thus the important and interesting question is:Why have military expenditure and economic growth increased simultaneously in Southeast Asia?To answer that main question,this research uses qualitative methods(analysis of data and literature).Theoretically,the growth of military expenditure helps strengthen regional stability,while regional stability becomes a context that allows the economy to grow well.At the same time,the increase of economic connectivity met with regional stability produce the economic leap.That theoretical framework leads research to the finding that simultaneously economic growth and military expenditure in Southeast Asia are caused by the interaction of factors at various levels(global,regional,and domestic).At the global level,there is a shifting of power distribution.The rise of China and the decline of USA power changed the structure of power from the USA hegemony to the balance of powers in which the USA and China became the main axis.In Southeast Asia level,the rise of China strengthened its economic relations with Southeast Asia.China’s economic wave in the region is driving regional economic dynamics so that prosperity increases.The increasing prosperity of countries in the region makes countries of the region have more ability to mobilize resources in order to improve security facilities which are seen primarily from the increased military expenditure.Thus the terrorist movement in Southeast Asia can be suppressed.Increased regional security facilities have strengthened the stability of Southeast Asia and become an investment attraction.Thereby again increasing the economic performance of the region.This setting is the context behind the economic growth and military expenditure simultaneously in the region.This finding complements the accumulation of prior knowledge,if the majority of scholars find a negative relationship between the two variables in developing countries,then the findings of this study are exactly the opposite,economic growth and synergistic military spending in Southeast Asia.