Budget Moves Buoy Defense Industry

Loren B. Thompson. Lexington Institute, 14 December 2009.


First, even before President Obama decided to send 30,000 additional troops to Afghanistan, the administration had already decided to spend more on overseas contingencies in 2011 that the $130 billion it planned to spend in 2010. Second, Jason Sherman of insidedefense.com reported this month that the White House will support increasing the regular defense budget (not including overseas contingencies) by $14 billion above what was planned for 2011, meaning it will rise from the $542 billion forecast in May to $556 billion. Third, Vago Muradian of Defense News reported this weekend that total increases above the May plan for the regular defense budget across the 2011-2015 spending period will reach $100 billion.

Editor’s Comment:

Looks as if the Obama administration’s plan to reduce Federal expenditures on war (contingency) operations and to hold increases in the base Pentagon budget to dollar inflation have come unraveled at less than a year into the budgeting plan and the administration. It is a shame, because it is so unnecessary.

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