The Effect of the Efficient Factors of Economic Transformation on the Formation of the Positive Cycle of Economic Power and Defense Economy

Planning related to macro-economy of countries and military budgets is of the most complicated and significant issues for every country. In the process of a countries’ economic development and allocating military budgets, given
the level of economic transformation and positive or negative performance of the country’s economic and political infrastructures, allocating any currency unit in the defense and military domains can mean not allocating budget in
the country’s other domains, on the one hand, and it can also mean improving national security level and consequently augmenting economic and political security of that country, on the other hand. The relationship between economic
incomes and military budgets will lead to a kind of cycle in a country’s macroeconomy and military expenditures which if it emerges as a positive cycle, it will cause the development of the economic power in line with the military power, but if this process gets stuck in the negative cycle, any military and defense expenditures more than country’s incomes it will result in budget deficit, national debt hike, withdrawal from Currency Reserve Fund, obtaining international loans, tax increase and inflation and reduction of social welfare level and consequently, increase in discontent level of a society.
The present article is of developmental-applied kind from objective perspective and of analytical-descriptive kind, from nature perspective, which by having a futuristic perspective, it attempts to identify efficient economic factors in
a developed economy which if planned and scientifically and appropriately allocated grand military budgets, it can lead to the formation of bilateral positive and supportive cycle of economic power in line with military and defense power
of a country and it can also prevent the formation of negative and destructive cycle in this regard.