Economy
Can We Cut “Defense” Spending?

Can We Cut “Defense” Spending?

Military and security spending amounts to $1 trillion every year, but there’s a lot to “defense” spending that doesn’t defend, and can still be cut — if America can abandon global empire. ...
Thomas R. Eddlem

Andrew Ferguson of the Weekly Standard summed up the neoconservative case against cutting U.S. defense spending in a February 21 article entitled “The Stockman Temptation.” In Ferguson’s article, he recollected that President Reagan’s Budget Director David Stockman had told Reagan back in the early 1980s that he must cut the defense budget in order to balance the budget. “Defense is not a budget issue,” Reagan responded. “You spend what you need.”

Reagan’s statement revealed both an undeniable truth as well as the essential question on the appropriate level of defense spending. Nobody who believes in nationhood would argue that the nation shouldn’t spend what it needs to defend the territory and citizens of the United States; without that defense spending we would soon no longer have a nation at all. On the other hand, only the economically ignorant would argue that unnecessary spending on armaments and soldiers would be anything but a tragic drag on the economy.

Needed Spending?

The essential part of Reagan’s statement was the word “need.” The United States now spends 54 percent of the money expended worldwide on defense, according to the Swedish-based Stockholm International Peace Research Institute’s 2010 yearbook, i.e., more than the rest of the world combined. In real dollars, that’s approximately $1 trillion per year in defense/security programs, once Defense Department outlays, the cost of the Iraq and Afghan Wars, and security spending in other federal agencies (such as Homeland Security, State, Energy, HHS, and intelligence) are included. It’s a cost of nearly $9,000 per household in the United States every year.

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