The aim of the study is to characterize the U.S. and Lithuanian defense cooperation from 1990–2020 including arms procurements. Findings suggest close defense cooperation between countries at Presidential, Congressional, and Defense Ministry/Secretary levels. The most developed cooperation areas are joint participation in international operations, improvements of the Lithuanian Armed Forces’ capabilities, and an increase of the U.S. military presence in the Baltic region. An analysis of Lithuanian defense procurements between 1990–2020 indicates that the majority of defense armaments were acquired from the U.S. using the Foreign Military Sales venue while other options to obtain armaments were not used.

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ANNOTATIONDue to the increasing expenditures in the defence sector on the world wide scale there might be a need for states to reassess the impact of national defence industries on national economies, security, defence and foreign politics. Existing different theoretical approaches could be used to develop a research design for that particular case. This article reconsiders the importance of political economy theories in this context and investigates the methodical side of their practical applicability and finally revisits the results of similar analysis. Research reveals a phenomenal linkage of new political economy approaches to "grand" theories, concludes that proper methodology does not guaranty the reliability of research results, outlines the fact that numerous studies that focused on defining the impact of the military spending and developing own defence industry to local and state economies, do not provide a clear evidence that military spending is likely to have a negative economic effect on the state.

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