The Institute for Economics and Peace provides a new methodology to categorize and account for the economic activity related to violence. The size of economic activity that is devoted to inflicting, preventing or dealing with the consequences of violence is known as the Violence Containment Industry (VCI). In the U.S., Violence Containment costs around 15% of Gross Domestic Product each year and is the largest discrete industry.
Violence Containment Spending in the U.S., produced by Institute for Economics and Peace, provides a new methodology to categorize and account for the public and private expenditure on containing violence. While some spending on Violence Containment is necessary, the question is what is the optimal amount to spend on containing violence while cost effectively investing in future reductions of violence?
IEP report on the macroeconomic effects of government spending on wars.
Vision of Humanity is an initiative of the Institute for Economics and Peace (IEP). IEP have offices in New York and Sydney. For more specific inquiries related to the peace indexes and research, please contact IEP directly.