Dec. 12, 2016
Chapter 4 | The American Defense Budget 2017–2020
The continued sluggish recovery from the Great Recession of 2008–2009, the reduction in U.S. employment, and the significant and growing Federal deficit places increasing pressure on defense spending and threatens future U.S. national security. The new administration must recognize the importance of and advocate for policies to improve economic growth, responsibly address America’s fiscal challenges, and rationalize defense spending. At over $550 billion, defense spending is the largest discretionary part of the budget, representing 15 percent of total Federal spending. The Pentagon should continue to address military compensation reform, tackle the expansion of headquarters staffs, choose research and development over procurement, and strenuously argue for entitlement reform and increased fiscal responsibility. This approach can make significant improvements in defense spending that will enhance U.S. national security.