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Christopher Preble

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Romney's $2 Trillion Gimmick

Posted: 10/14/11 04:49 PM ET

GOP frontrunner Mitt Romney is pushing a shortsighted and costly plan to boost his national security credentials. In a series of speeches and policy pronouncements last week, Romney promised to dedicate at least four percent of the nation's economic output to the military's base budget, increase naval shipbuilding by two thirds, expand funding for national missile defense, and grow the active duty ranks by 100,000. Romney's intention to shower so much money on the Pentagon -- on top of the huge increases of the past decade -- will compound the nation's strategic problems, as well as its fiscal ones.

The most striking thing about Romney's proposal is the staggering cost. Based on the most likely of three different sets of Congressional Budget Office projections, defense spending will total $637 billion (or 2.7 percent of GDP) in 2021. Romney's plan in that same year would cost taxpayers $900 billion. Cumulative defense spending for the ten-year period from FY 2012 to 2021, according to CBO projections, would total $5.811 trillion. Romney's plan would cost $7.857 trillion, a difference of $2.046 trillion.

That looks bad enough, but the actual gap between Romney and reality would probably be wider still. The CBO projections cited above don't include war costs, which may continue to accumulate in a Romney administration. The Iraq war is scheduled to draw to a close by the end of this year, and the Afghanistan mission is supposed to end in 2014. Romney's foreign policy advisers include some of the biggest boosters of the Iraq war; it will weigh heavily on their consciences if the country descends into civil war after the last U.S. troops are withdrawn. Meanwhile, Romney allowed that U.S. forces may remain in Afghanistan past the 2014 date, depending on the "best recommendations of our military commanders."

Even if Romney resists the urge to send tens of thousands of U.S. troops back into Iraq, and if he terminates the open-ended nation-building mission in Afghanistan, how will he pay for his plans? Two of three obvious options -- tax increases and deficit spending -- are almost certainly off the table.

That means that Romney will have to reduce other spending to pay for the growth in the military budget. Cutting $2 trillion exclusively from projected non-defense discretionary spending would amount to a 40 percent cut from the CBO's 10-year projections.

As daunting as the budget numbers are, the worst part of Romney's plan is its extraordinary myopia. Romney's four-percent gimmick is a slogan, not a strategy. Strategy weighs a nation's ends against its means, and adapts ways to achieve these ends within those resource constraints. A wise strategy also prioritizes the "must dos" from the "nice to dos." A country's threats do not rise or fall with its wealth. If anything, countries should be able to spend a decreasing share of their economy on defense as they grow richer. But U.S. military spending has nearly doubled in real terms since 1998, and we now spend more than at any time since the end of World War II, even though the threats facing this country are far more modest.

According to Romney, such expenses are necessary because the security of other countries is, and should be, the primary concern for American taxpayers and troops. U.S. troops, Romney claims, must maintain a constant watch in every corner of the world, and must be poised to stop conflicts before they occur. He, like President Obama and Hillary Clinton, believes that this global posture reassures U.S. allies, who might otherwise be tempted to defend themselves. And Romney likes it that way. So, while Romney last week scorned "the Europeans" who were sending their money "out to social programs...and shrinking their military year after year after year," his plan is likely to make that problem worse.

The United States has played the role of global policeman long enough. Reversing this state of affairs, and getting other countries to do more, and pay more, to protect their security, should be the primary goal of U.S. foreign policy. Instead, Mitt Romney's decision to embrace the tired status quo practically ensures that other countries will spend even less on their militaries, while Americans pay more, and U.S. troops sacrifice more.

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Christopher Preble is vice president for defense and foreign policy studies at the Cato Institute and the author of The Power Problem: How American Military Dominance Makes Us Less Safe, Less Prosperous, and Less Free.

 
 
 
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Fremon
Retired in Palm Desert CA
09:08 PM on 10/16/2011
Another sop to the military and industrial complex. After all, they are creating "jobs" that don't advance us save in wars. By the way, don't we all talk about the best military in the world and in our history yet we are in the longest wars in our history (4 years each for Civil, WW1 & 2, and 6-7 for Vietnam (depending how you list the date of starting and ending). So with all the money we have spent, why are we being held to a stalemate with guys in sandals and AK47's of WW2 vintage? How many dogfights for our vaunted high performance aircraft and submarine battles? Of course we will hear about China and new performance weaponry and we will respond with another round of technology which includes new weapons to fight the impending war. Yeh sure, the greatest in all things but actually winning wars. Does anyone not believe once we leave Iraq that Iran will be in there? How about Afghan. The Taliban will be in so fast we won't know what happened. And Karzai and family they will be either in the US/Europe/or Middle east with billions stole from us and their extended family and entourage. That is how Romney sees our future. An extention of Project for a New American Century of the neocons dusted off. Did anyone wonder why we went into Iraq with Bush 2 lies. Read about it in Wiki under that project name. It is there.
08:00 PM on 10/16/2011
The GOP plans on going after Iran next. Of course, we'll have to do the rebuilding and providing of security to avoid a civil war. That would mean we would have to keep nation building in the Middle East for a very long time. The GOP still thinks wars are the answer in a world where we want peace.
Just one more short term idea - of course, the main idea is how much money can the wealthy profit off of it so in that sense the GOP is spot on. Also, there are a lot of poor and middle class individuals ready to serve.
Fremon
Retired in Palm Desert CA
09:14 PM on 10/16/2011
It is their jobs plan. The sons of the working man and poor with a few illegals promised citizenship thrown in. I love Romney's comments during the last run for POTUS when asked why weren't his son's in the military and he said they were doing more important work trying to get him elected! For him a missionary Mormon requirement is more important than serving in the military. Same for his kids. Can you blame him? Why risk your children when there are more middle and working class kids that can die for "freedom" who need jobs. Whose going to miss them?
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Shrank
We are sorry, your micro-bio is not PC
03:41 PM on 10/16/2011
Mitt Romney aspires to become the "Kim Jong Il" of America. There will be a boom in industrial production, for military production and research. He'll create millions of new jobs... for soldiers and MIC workers. What will we call him? "Dear Leader"?
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SolarPowerGuy
Ph.D., Immunology; Solar power @ home; Green Party
01:00 AM on 10/16/2011
"Romney promised to dedicate at least four percent of the nation's economic output to the military's base budget... Based on the most likely of three different sets of Congressional Budget Office projections, defense spending will total $637 billion (or 2.7 percent of GDP) in 2021... Cumulative defense spending for the ten-year period from FY 2012 to 2021, according to CBO projections, would total $5.811 trillion. Romney's plan would cost $7.857 trillion, a difference of $2.046 trillion."

No, Romney does not have to spend $2 trillion more to keep this promise. There's another way.

He could, instead, SHRINK THE GDP by 30 percent, while holding the line on military spending.

Then he could go back to GOP voters and say, "look, I raised 'defense' spending from 2.7% of GDP to 4.0%, without spending a dime!"

I bet that quite a few of them would eat it up.
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phal4875
The world is run by cats; we just feed them.
06:54 PM on 10/16/2011
Fanned. Just don't publicize this too much. I believe that, given time and effort, a Republican could shrink gross domestic product by up to one-third. It might make sense for Grovel Norquist to put together another pledge to sign (yes, it's really "Grover" - as far as I know).
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Saxton
11:24 PM on 10/15/2011
It's time to wake up America, Romney will empower the 1% while everyone else, Republican and Democrate, will be paying with our tax dollars and our children and grandchildren's lives. Romney would sell his soul just to be president that is why he'll say anything - slick Mitt.
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BigBearcatBill
This is the real Bearcat - a Binturong
09:42 PM on 10/15/2011
He is working with CERN to get that time machine they are patenting and bring Merlin back for that alchemy he almost finished changing lead to gold...
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phal4875
The world is run by cats; we just feed them.
06:56 PM on 10/16/2011
Physicists and chemists have already performed some alchemy and changed other elements into gold. The problem is that it costs an absolute fortune to get a tiny bit of gold. It would be like sending Michele Bachmann to a real college to get an education, instead of choosing an already-educated person for president.
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springsm
08:43 PM on 10/15/2011
The man who said his five sons had other things to do in 2008, like get their dad elected president. You can not believe one thing Romney says or does. Trillions in the defense budget will guarentee his grand children will not have to serve their country...but others will. I am sorry, but I can not look at that guy without knowing what a sleaze he is and I can't trust anything he says. And h*p will censor this no doubt.
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phal4875
The world is run by cats; we just feed them.
06:58 PM on 10/16/2011
Fanned; I lived under Romney in Massachusetts for four years. He is as slippery as Teflon butter.
Fremon
Retired in Palm Desert CA
09:16 PM on 10/16/2011
But he looks so good and presidential to boot! Shame there is not more behind his curtain.
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03:28 PM on 10/15/2011
What's a poor Harvard MBA going to do when he's no longer satisfied being governor or throwing around billions in big oil or private equity?

You got it! He runs for president, so that he can throw around trillions in the defense budget.

Because after all, the only thing that's more leveraged and in debt than a bank is a nation. This is how it's always been.

You guys from the Cato institute can't change that. Nor did you try real hard when W went down that route. Big boys need big toys.
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beverlyg
02:22 PM on 10/15/2011
If Romney can carry out such an expansion of "Defense" we will be on the way to becoming a Spsrtan country as opposed to an Athenian one. To carry this out he wants a vice president like Dick Cheney, the worst VP in our history. What a travesty!
Sparta was composed of warriors. war industry and slaves. When they finish sending our non-war industry and jobs overseas, what will be left for the rest of us?
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kamact
Market Observer
02:07 PM on 10/15/2011
Over funded military leads to predictory capitalism,...where the 99% pay, fight and die, while the 1% gets even richer and more politically powerful,...a crime
01:57 PM on 10/15/2011
The national debt doubled under George W. Bush. Those borrow and spend Republicans!
11:53 AM on 10/15/2011
Just as a bit of background...

The ONLY REASON in this day-age to have a large military, is NOT to ensure our safety and security, but to protect the position of the US Dollar as the primary reserve currency of the word, and the primary petro-currency.

If you look at the "problem" with this fact in mind, it becomes a lot more obvious and easy to understand.
11:50 AM on 10/15/2011
well...Reagan showed us that we can throw unlimited money at the military, run up huge deficits and slash domestic spending, as a way to get the economy back on track.

Oh, wait...that's right...30 years on, we're STILL dealing with the damage that little trick did.

Truth is, modern republicans have never had a problem with borrowed money and government intrusion into private life and over-militarization of the planet, UNTIL January 21, 2009 at 12:00 noon.

THEN, at that moment, it all became too horrible to comprehend.

Suddenly.
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Guscat
11:36 AM on 10/15/2011
Romney was so concerned about national security during the Viet Nam era he seved as a missionary in France.
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phal4875
The world is run by cats; we just feed them.
07:07 PM on 10/16/2011
Romney's service in France kept them safe from any Vietnamese attacks, just as Bush protected Texas from any attacks while he served in the Texas Air National Guard. It takes courage to not serve in the military, start an unnecessary war, and then send young men and women to serve the one-percenters.
RealistBC
Micro-bios must pass muster.
11:28 AM on 10/15/2011
The title to this article is misleading. Romney expects the military-industrial complex to love this idea so much that they will buy him the White House so he can make them money on that investment.