this isn't the subsidies issue I specifically asked about. what's more, this statement has come up over and over for decades, back to when I first became a DoD procurement wonk in the 1980s.
It's technically all subsidies. Any funds the feds hand oit to advantage a sector or company.
When we subsidize big agriculture, it is via contracts to buy (for ex) excess corn. In military spending, it's paying a premium for services or goods-guaranteed spending, whether or not they're used.
It's meant to push costs down, or prices down, which it does for corn. Tough that one is super costly in terms of the indirect costs as it effectively removes huge chunks of good land out of useful production.
But, with consolidation of wealth amd mergers, it just means prices go up w few checks.
After overspending came out in the 1980s (toilet seats was the poster child), the many variois contractors were consolidated to the 'big five in 1990s.
Then oversight jobs were cut.
'early 2000s...the Pentagon... cut 130,000 employees whose jobs were to negotiate and oversee defense contracts.'
Comments
Of $609 billion total spending, $431 billion goes to contractors and suppliers.
https://www.defense.gov/News/Releases/Release/Article/3935678/dod-releases-report-on-defense-spending-by-state-in-fiscal-year-2023/#:~:text=Of%20those%20funds%2C%20%24431.4%20billion,percent)%20were%20awarded%20as%20grants.
'The DOD last year failed its fifth audit and was unable to account for over half of its assets.'
And those toilet seats? $14,000 each.
Explain that to the folks in moldy housing or vets with med bills.
When we subsidize big agriculture, it is via contracts to buy (for ex) excess corn. In military spending, it's paying a premium for services or goods-guaranteed spending, whether or not they're used.
And, once guarantees are made, the industries take maximum advantage.
IE: Food contracts for USAID cancelled just means it rots.
Use it or lose it, only no threat of losing it.
But, with consolidation of wealth amd mergers, it just means prices go up w few checks.
Then oversight jobs were cut.
'early 2000s...the Pentagon... cut 130,000 employees whose jobs were to negotiate and oversee defense contracts.'