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ivA B S T R A C TDEFENCE EXPENDİTURES AND TÜRKEY’S POSITIONServet ÇIKINLARSüleyman Demirel University, Department of Public Finance Master Thesis, 180 Pages,December, 2006.Supervising Professor: Yrd.Doç.Dr. İbrahim Atila ACARConsidering all the empires and the states in history we can conclude that thebasic elements have been effective in the context of community ,power, land, prosperityand administrative system. The first and the most important element in the foundationof states and empires have been the human which is the most dangerous weapon.Toprotect the system itself and to support the development of the system, it necessitatesconstituting a modern , powerful and large(big) army. It also necessitates creating agood budget . The size of the army effects the size of the budget . Till today the stateshave been applying different process’ and trying different systems in order to adjust theirbudgets.Today the ratio of defence expenditures in the state budgets are extremely high.This causes problems in other expenditure fields. Since the national defence isindispensable to the survival of a state-especially our own country-the ratio of otherexpenditures such as education, sanitary, infrastructure etc. are unfortunately gettinglower.For this above reason and changing security concepts, states have been usingdifferent systems, structures and new tecnologies in order to balance their budgets.Using scientific data, developing national defence industry and creating an effectivedefence system by alliances and bilateral aggrements are some of the steps taken toeconomize and obtain the optimum advantage from the defence expenditures ratio of thebudget.Firstly, in order to emphasize and explain the importance and place of thedefence expenditures in a state’s economy public expenditures were taken into account.Secondly, the importance, the features and the contents of the defence service anddefence expenditures and ways of sustaining a good defence service were explained.Finally, what paths our country follow, the unions or associates or organisations ourcountry take part in, its geopolitic, geostrategic and ecostrategic importance and howthedefence service and defence expenditures will be inthe future were tried to explain.The data and table knowledge except,any information and knowledge mentionedin this study cannot be related to any official or unofficial institution or organisation butto my personal views only.Keywords: Defence Services, The Changing Defence Understanding, DefenceExpenditures, Military Expenditures.