NATO Defense Spending Analysis (2000–2024)

This project analyzes defense spending trends among NATO member states using Python and panel data econometrics.

Research Question

How did NATO countries change their defense spending after major geopolitical shocks such as:

• The 2014 Crimea crisis
• The 2022 Russia–Ukraine war

Data Sources

The analysis combines two datasets:

• SIPRI Military Expenditure Database
• World Bank GDP Data

These datasets were merged to calculate defense spending as a percentage of GDP for NATO countries.

Methodology

The project includes the following steps:

1. Data collection
2. Data cleaning
3. Dataset merging
4. Feature engineering
5. Exploratory data analysis
6. Panel data regression (Fixed Effects model)

Example Visualization

This figure shows the average defense spending of NATO countries as a percentage of GDP.

Tools Used

• Python
• Pandas
• Matplotlib
• Seaborn
• Linearmodels (PanelOLS)
• Statsmodels

Repository Structure

NATO Defense Spending Analysis (2000–2024)

Python | Data Analysis | Panel Econometrics

This project analyzes defense spending trends among NATO member states using Python and panel data econometrics.

Research Question

How did NATO countries change their defense spending after major geopolitical shocks such as:

• The 2014 Crimea crisis
• The 2022 Russia–Ukraine war

Data Sources

The analysis combines two datasets:

• SIPRI Military Expenditure Database
• World Bank GDP Data

These datasets were merged to calculate defense spending as a percentage of GDP for NATO countries.

Methodology

The project includes the following steps:

1. Data collection
2. Data cleaning
3. Dataset merging
4. Feature engineering
5. Exploratory data analysis
6. Panel data regression (Fixed Effects model)

Example Visualization

This figure shows the average defense spending of NATO countries as a percentage of GDP.

Tools Used

• Python
• Pandas
• Matplotlib
• Seaborn
• Linearmodels (PanelOLS)
• Statsmodels

Repository Structure

nato-defense-analysis │ ├── data │ ├── figures │ └── nato_trend.png │ ├── notebooks │ └── exploratory_analysis.ipynb │ ├── reports │ └── final_report.pdf │ ├── README.md ├── requirements.txt └── .gitignore