In the same way that some of the lustiest cheerleaders for war declined the opportunity to serve themselves, some of those most loudly calling for eliminating deficits seem curiously unaware of the Pentagon.
For more on pruning back executive power see Pruning Shears.
No Associated Press content was harmed in the writing of this post
Here is a one paragraph summary of our fiscal policy since 1980: A Republican president cheerfully dismisses probity when lobbying for increased defense spending and tax cuts, with the memorably irresponsible quip “I believe the deficit is big enough to take care of itself.” Then a Democrat comes in and suddenly professional concern trolls are out in force, urging cuts in social programs in the name of responsible budgeting. The Democrat turns the deficit into a surplus, which his prodigal successor dissipates in an orgy of further tax cutting and military spending. The right kicks the concern trolls to the curb, and the sainted GOP predecessor is invoked to justify the recklessness. A Democrat then wins the presidency and balancing the budget is all the rage again.
An absolutely superb specimen of furrowed-brow harrumphing over the parlous state of our nation’s finances was written by Niall Ferguson last month. He hits all the notes with perfect pitch, from his dripping contempt for Keynesians to his dark intimations of yellow peril in the form of crafty Chinamen slyly snapping up America’s vital assets (cf.) to his imperious declaration that “Unless entitlements are cut or taxes are raised, there will never be another balanced budget.” And since everyone knows tax hikes are off the table, that leaves entitlement cuts.
Where Ferguson really shines is in his deceptive characterization of military spending. In an article about budgets, notice how he flips the spotlight over to boots on the ground in order to downplay the impact of the defense budget:
We are, it seems, having the fiscal policy of a world war, without the war. Yes, I know, the United States is at war in Afghanistan and still has a significant contingent of troops in Iraq. But these are trivial conflicts compared with the world wars, and their contribution to the gathering fiscal storm has in fact been quite modest (little more than 1.8 percent of GDP, even if you accept the estimated cumulative cost of $3.2 trillion published by Columbia economist Joseph Stiglitz in February 2008).
Also note how he conflates the cost of the wars with the defense budget. Look at it in the pie chart here, or run the numbers yourself from the CBO if you are a Wikipedia skeptic. It may even be a substantially larger share than that. What we spend on the military is absolutely enormous, and anyone who refuses to put large cuts to the Pentagon budget on the table is not a good faith actor in the budget balancing discussion.
The Fergusons of the world would also give themselves a little more credibility if they demanded auditing and transparency for our intelligence services. It is reflexively accepted that all monies allocated there are vital investments in the War on Terror, but the details that become public never seem to be terribly well spent. Consider the CIA’s Abu Omar kidnapping fiasco, and this vignette from page 133 of Chalmers Johnson’s Nemesis:
The first operative arrived in Milan on December 7, 2002, and stayed at the Milan Westin Palace, according to court documents. The others started arriving in early January and by February 1, 2003, virtually all of them were there. They did not hide in safe houses or private homes but checked into four-star palaces like the Milan Hilton ($340 a night) and the Star Hotel ($325 a night). Seven of the Americans stayed at the Principe di Savoia – billed as “one of the world’s most luxuriously appointed hotels” – for between three days and three weeks at nightly rates of $450. Eating lavishly at gourmet restaurants, they ran up bills of at least $144,984, which they paid for with Diners Club cards that matched their fake passports, which is how police obtained their photos if not their real names. After the delivery of Abu Omar to Aviano, four of the Americans checked into luxury hotels in Venice and others took vacations along the picturesque Mediterranean coast north of Tuscany, all still on the government tab.
Keep in mind we only know about this because a foreign country held a trial for the agents involved and the details came out in the course of the investigation. Is it reasonable to think our money is in the hands of capable stewards everywhere but Italy? We have likely been funding opulent vacations all over the world. The culture of impunity that comes with the complete absence of oversight and accountability virtually guarantees it. Would that the fiscal scolds were as interested in cracking down on that as they are in degrading the medical care of the elderly.
