Dr. Robert Higgs, Senior Fellow at the Independent Institute on The Defense Budget Is Bigger Than You Think
When President Bush signed the defense authorization bill for fiscal year 2004 on November 24, 2003, the event received considerable attention in the news media. At $401.3 billion, the public's visible cost of funding the nation's defense seemed to be reaching astronomical heights, and the president took pains to justify that enormous cost by linking it to the horrors of 9/11 and to the “war on terror.” He pledged that “we will do whatever it takes to keep our nation strong, to keep the peace, and to keep the American people secure,” clearly implying that such payoffs would accrue from the expenditures and other measures that the act authorizes.
Although the public may appreciate that $401.3 billion is a great deal of money, few citizens realize that it is only part of the total bill for defense. Lodged elsewhere in the budget, other lines identify funding that serves defense purposes just as surely as — sometimes even more surely than — the money allocated to the Department of Defense (DoD). On occasion, commentators take note of some of these additional defense-related budget items, such as the nuclear-weapons activities of the Department of Energy (DoE), but many such items, including some extremely large ones, remain generally unrecognized.
Read the rest here.