Last year, the US Commission on National Defense Strategy published its final report, creating intense buzz in Washington. “The threats the United States faces are the most serious and most challenging the nation has encountered since 1945,” the report warned. To meet the challenge, “the US government needs to harness all elements of national power,” starting with a 5% boost to the Pentagon budget, currently at $886 billion.
Congress created the bipartisan commission as “an independent body.” Yet some of the members of the commission are connected to think tanks and the defence contractors that fund them: from Boeing to General Electric, Northrop Grumman to Lockheed Martin. If taxpayers go along with the military buildup advocated by the report, these and other firms stand to profit handsomely.
Private firms and foreign governments presenting their material interests as disinterested “expertise” — it should be a scandal, yet it’s taken for granted as just the way Washington works. We are told that we need bigger military budgets to defend the nation and serve as a reliable ally. That artificial intelligence is the future of the battlefield, and if we don’t beat Beijing at it, we risk world freedom. Ditto for space and the high seas and nuclear weapons and Silicon Valley-backed “defence tech.”
You have no doubt heard at least one variation on these themes in the last year. But did you ever ask why every “expert” seems to be saying the same thing? “Follow the money” has become cliché, but it is a useful place to start. Thanks to a new database created by the Quincy Institute (full disclosure: I work there), the consensus thinking in foreign policy can be traced, in part, to the powerful financial interests behind it.
Covering the period from 2019 to 2023, the tool permits users to track the money going to the top-50 Washington think tanks from the US government ($1.5 billion), foreign countries ($110 million), and private defence contractors ($34.7 million). Not all think tanks disclose their contributions, and many that do provide “minimum” ranges, so these totals are, if anything, conservative. An illuminating — and sordid — picture emerges when you filter who gets what and from whom, and match their substantive output over the last year on China, Ukraine, defence industrialisation, and nuclear deterrence.
Consider the Commission on National Defense Strategy. A few keystrokes reveal that the commission’s chairwoman, former Rep. Jane Harman (D-Calif), is a trustee at the Aspen Institute, which received more than $8 million over the last five years from 10 different governments, including the US government, and major contractors like Boeing, GE, General Dynamics, Battelle, and McKinsey & Co. She is also the former president (now distinguished fellow) at the Wilson Center, which took in more than $52 million over five years, including $51 million or more from the US government, plus undisclosed amounts from Northrop Grumman and Lockheed Martin.
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SubscribeUnfortunately, Washington DC never heeded President Eisenhower’s advice about the MIC given so long ago!
This is an excellent article highlighting all the pigs feeding at the trough
No, not ALL the pigs. Every cabinet dept. and subordinate agency has its own cadre of rent seekers.
Recall the story of planned parenthood getting $500 mil from US Govt, much of which is recycled back to DEM politicians as campaign money. Hundreds of similar situations.
Hold on a minute. The outgoing transphile Biden administration (moving toward the door at a snail’s pace) told us the nation’s greatest threat is “white nationalism.” And now all of a sudden it’s crickets on that front.
So, necessary defence spending helps the bottom line of defence contractors. Well colour me shocked.
I am of two minds about this article. The author is of course correct that these ‘think tanks’ are basically just bought and paid for lobbyists with a thin veneer of intellectualism layered over the top. They’re not even close to objective, and it’s also not limited to defense. There are ‘think tanks’ and ‘research groups’ for other things as well. Big pharma funds all kinds of medical research showing the economic costs of various conditions and implying how valuable a treatment would be. The farm and agriculture lobby funds studies about food security and pests and most of the research that shows GMO foods are not a threat. Big energy companies have figured out they can profit from climate change hysteria through higher energy prices and subsidies for building new ‘green’ infrastructure that they then control. Just about every major industry has its own groups that do the equivalent of this for their own industry, and quite a few other groups funded by the super wealthy to push their ideologies. This is, as the author concedes, how the game is played. In addition to competing for funds, these various groups may also spar with each other over various policies which might benefit or harm their industries, which brings us to the topic at hand.
Part of the impetus for the retreat from unrestricted globalism has come from the MIC. They’ve calculated sometime over the past decade that they can profit more from selling more weapons to the US and others than they will lose in terms of higher costs that will come with a less globalized economy. More countries buying more weapons means more money flowing into American defense firms. There hasn’t been nearly as much opposition to Trump and populism from them than from other lobbying groups except on Ukraine for obvious reasons. They are clearly biased, but just because they’re biased it doesn’t necessarily mean they are wrong. In this case, I mostly agree with the MIC. Most people consider the money invested in defense and military technology during the Cold War to be money well spent because the US won that conflict and reaped considerable benefit. It was massive defense spending and a significant nuclear deterrent that helped prevent conflict. The other side didn’t believe it could win and no war was fought, though we came close.
China is an even greater threat than the Soviets, and they have many advantages the Soviets did not. If we want to prevent a conflict, the only alternative is to make war such a daunting prospect that even Chairman Xi checks his ambition. Further, there may come a point when the US faces a choice between giving Chairman Xi something he wants or going to war. Keep in mind the list of things Xi wants already includes Taiwan, the entire South China Sea, several small Japanese islands, and some of the disputed area from their war with India in 1979. What do we do if he just marches in and takes something then dares anyone to stop him? Do we just roll over and give him what he wants? How sure are we he won’t then demand something else. Do we just cede the entire Indo-Pacific region? These are serious questions we should all be asking. There hasn’t been an all-in war between major powers since 1945, and since 1991 there’s been no credible threat of one. There is now, and it’s something that has to be considered.
Whether our goal is to avoid such a conflict or win the conflict when it comes, the prescription is the same. If you want peace, prepare for war. The US can’t outproduce China. There is no prospect of catching up in terms of manufacturing in the short to medium term. What we can do is invest money in keeping the technology advantage we have. It pains me greatly to say so, but as corrupt and inefficient as the system has become, it’s the system we have, and circumstances are such that we need it now, not after taking a decade or two to invest in domestic manufacturing capacity, breaking up big companies into smaller and more innovative firms, and thoroughly reforming the system to eliminate corruption and graft. That needs to be done, but it will probably take more than a decade, and we don’t have that long.
“It’s the United States public that has to start paying attention…”
The U.S. public will not be animated about this issue as long as 1) the military is staffed exclusively by volunteers who shoulder all the physical/emotional hazards of war thus insulating the majority of citizens from the human cost of combat and 2) the trillion dollar annual defense budget is funded with borrowed funny-money to keep taxes artificially low. In other words, most Americans have no (perceived) skin in the game. For them it is an abstraction appearing on their news feed that asks nothing of their courage nor purse.
Corollary to that statement is, institute the general draft and watch the MIC get dissolved by the electorate.
This article uses the standard ploy; if you can’t refute the policy, ascribe low motives to its authors. And to them it appears that money is the only reason anyone proposes anything.
Follow the money: the Quincy Institute, where the author works, got money from George Soros’ Open Society Foundations.
The Quincy Institute states that it is a nonprofit research organization and think tank that hosts scholars, participates in debates, publishes analysis pieces by journalists and academics, and advocates for a “less militarized and more cooperative foreign policy”. According to its statement of purpose, it is opposed to the military-industrial complex described by President Dwight D. Eisenhower in his farewell address.
Over the past four years, we saw the amazing results of this cooperative foreign policy.
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Good job, ma’am
Ah yes, the Quincey Institute. Helping small nations resist bullies like Putin & Xi is now being ‘pro war’. Actually, it’s called collective security.
According to Barack Obama, America had no strategic interest in Ukraine.
Putin & Xi have
‘Never cared for Obama, but he was correct and dealt with the Ukraine by only offering non-lethal aid. However Biden, a man who Obama is known to have characterized as a man who never fails to ‘fxuck thinks up”, has shoveled $185 Billion to fight a useless war that had seen hundreds of thousands killed on both sides and it’s still on going. It’s just one more stink-bomb of a parting gift Biden leaves for Trump.
He certainly didn’t distinguish himself with a $1.5 billion bribe to Iran, his demonstrated contempt for our longest allies, Britain and Israel, Libya, and his idiotic support for Iran, which constantly was attacking our interests, to be the major player in the Middle East. I add Ukraine to his list of misjudgments.