Just some figures that seem relevant: According to the OMB’s historical budget publication, in 2001, over 20% ($308.5 B) of our on-budget federal outlays went to the military. And that was before any buildup for Iraq. The figure being tossed around in the press is closer to $400B for our current yearly military spending. And even still, our military resources are over-stretched, if this analysis in Washington Monthly is to be believed. The discussion of the war costs proceed as if the issue is a one-time expenditure. But what if we are going to be spending 25, 30 percent or upwards of our budget on the military on an on-going basis? (In 1967, it was over 50% by the way) Costs aren’t the only consideration, of course, but they should be a major factor in our decisionmaking.
Another item in the 2001 budget: $275.0 B (18% of on-budget outlays) went to on-budget interest payments. I have news: our debt servicing costs are only going to grow from here.
[Note: On-budget and off-budget refers to the segregation of payroll-tax revenues and Social Security outlays from the rest of the budget. An accounting fiction, to be sure, but a necessary fiction if we’re to hope to meet the demographic swell of retiring Baby Boomers.]
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