Though the mainstream media, Federal Reserve, Congress and the Administration don’t seem to see the same problem with our national debt as the American people do, the US military clearly sees a potential threat to our national security:
With the Obama administration pressing for a government takeover of one-sixth of the U.S. economy to grant health-care benefits to all Americans, the U.S. military is worried that the United States is already losing the ability to afford national defense.
The deteriorating international trade position of the U.S. as documented by the CIA is a national security concern by the U.S. military, according to the Joint Operating Environment 2010 report, or JOE 2010, released Monday by the United States Joint Forces Command, or USJFCOM.
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With regard to national defense implications of the deteriorating U.S. economic position, the JOE 2010 worried that should China demand higher interest rates as an inducement to continuing to buy the U.S. Treasury debt needed to finance continuing trillion dollar U.S. federal budget deficits, the U.S. could suffer a “hard landing” that could increase the perception the U.S. no longer controls its financial future.
Noting President Obama’s warning that the U.S. economy will add $9 trillion debt over the next decade, the JOE 2010 warned the result could be “a decreased ability of the United States to allocate dollars to defense.”
“Rising debt and deficit financing of government operations will require ever-larger portions of government outlays for interest payments to service the debt,” the JOE 2010 cautioned. “Indeed, if current trends continue, the U.S. will be transferring approximately 7 percent of its total economic output abroad simply to service its foreign debt.”
The JOE 2010 cited past examples of countries with national debts that exceeded their ability to service debt, leading to serious military implications including Habsburg Spain, Bourbon France and the British government in the early part of the 20th century.
Another, more recent example, is the breakup of the Soviet Union, which some attribute to then Soviet leader Mikhail Gorbachev’s domestic reforms of glasnost and perestroika. While these reforms may have had an impact in the final years of the USSR, the fall of the USSR can be primarily attributed to the fact that the Soviet economy was a complete disaster and they simply did not have enough money to maintain their national defense. Arguably, President Ronald Reagan forced the Soviet hand in national defense when he aggressively expanded America’s military capabilities and the Soviets tried to keep up, with essentially worthless, printed en-masse Rubles.
Hat tip Willie Wonka
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Yes, the U.S. has foolishly lived beyond it’s means for decades. We are all to blame for the current situation, either, directly or by turning a blind-eye to what our representative government is doing.
I think that the U.S. will always be able to pay for our *National* defense. Having the money to operate hundreds of military bases over seas and dominate the globe is another matter. We could have kept our position as #1 power in the world for centuries if it were properly managed, but power breads arrogance and a sense of privilege. Our “leaders” for decades have come to feel entitled to so many things that they never worked for and cannot appreciate the sweat and toil of our forefathers who actually made/created things with their hands.
America will always be able to defend it’s national borders. Our sphere of influence will shrink in the coming years. I for one think that is a good thing. America’s imperial age was brief and is coming to a close. Now, let us get back to being to light of freedom and Democracy for the free world.
Greg,
What i’m afraid is not what is outside the borders.
I’m afraid an inside social crisis, which is close by the way.
I share your fear of civil unrest within our borders. The actions of some so-called conservative news commentators and politico starlets seem so irresponsible to me, bordering on treason. They use out right lies and half truths to whip the far right fringe elements into a fervor that I fear will incite the more unstable among us to violence. (The left does the same kinds of distortions, but they seem more passive.) The ideologues scar me because they believe what they believe regardless of any scientific facts, the pursuit of evidence and analysis, the application of reason. Â You can’t reason with them with facts, evidence, analysis. Oddly, they seem to revile the educated as some class of “elitist” just out to pull the wool over the average man’s eyes. When the fundamentalists gained power in Iran the first thing they they did was execute most of the University professors! I guess what I’m trying to express is that I fear the far right fringe using the countries problems to trick people into voting them into power again. Then shortly after they gain power they begin a social purge of anyone who is not like them. European history is filled with radical leaders rising to power when a nation is in serious social unrest. That is what I fear will come to pass.
Well, back in the 1960s we needed civil unrest to stop the institutionalized discrimination of African Americans and the country did not fall apart–the nation came out stronger. As a result of people rising up we got out of Vietnam and stuck down the American apartide (sp?) system. Maybe when people stop passing most of their free time in front of their TV sets they will find time to speak truth to power.
Keep in mind that EVERY document produced by the Pentagon has at least an implicit objective of maintaining and enhancing the DoD budget. EVERY document is shill for more.  With those guys, too much is never enough.
And keep in mind that most of the uniformed guys that wrote that already have their post retirement jobs with the Military Industrial Complex contractors all picked out.
Greg, if you’re still worried about left vs right, you’ve missed the entire point and you’re part of the problem. Â The problem is big-govt progressives on both sides of the isle. Â They all want the same thing, and while you’re watching the talking heads on TV and arguing about contrived topics, the progressives and banksters are taking over the country and planet.
Read Carroll Quigley, Tragedy & Hope.
Patrick, It is so damn to get folks past this left-right dogma. But we have to keep trying….
…damn hard
Prepare for catastrophe. I now believe its coming much sooner than we think. The powers within have no idea what is about to hit them. They are nothing more than appeasers.
Our enemies know what is happening, and mark my word, they will take advantage of it. They see our vulnerability, and again they will take advantage of it.
When I say “our enemies” lets be frank that I’m not just talking about terrorists. I’m also talking about other Nations. China, Russia, Iran, etc are all our enemies.
I predict some type of economic collapse within the next 6 months from today. These “enemies” will conspire to do destruction through integrated disturbances. Watch as our enemies use and abuse our so called government.
Obama’s weakness has been exposed from the beginning. Our economic weakness has been exposed for some time now.
History tells us that we will be no more.
The imbeciles in the Pentagon should have thought about THAT when they started paying $600 for Hammers!
If these a$$holes were half the General that Washington was at Valley Forge, they could make do on $700 billion a year, don’t cha think?
Let’s see….we spend what the next 25 countries spend buying equipment and planes that don’t fit the world we live in; with troops/resources in 140 countries; so many generals we can’t keep track of them until they become consultants; and with a budget that is scheduled to run $1 T. before long and these folks think they aren’t part of the problem? Would be funny if not so serious. Our Dept. of Offense has become exactly what Eisenhower warned about 60 years ago.
Anyone recall during the Iraq “war” a story about the military “losing” billions of dollars? I don’t remember the amount, but they had no account for where the money went.
Eisenhower warned in no uncertain terms about the power of the Military Industrial Complex. Rather sobering. There is no telling what corruption has passed and will pass with the War Machine.
Hi Penny Lane;
The amount was Nine Billion (you read that right) and the thing is, it was in physical cash, not just in an account somewhere. Â It would take a couple of semi trucks (18 wheelers) to haul that much cash. Â It was “lost” from a government warehouse where it was supposed to be used to pay Iraqi civilians for accidental killings of their relatives by US troops or blackwater operatives. Â The money has never been recovered, but you can BET YOUR SWEET ASS someone knows right where that money is.
I have to tell you, I stopped worrying about it after dick cheney came on meet the press (I think that was the talk show anyway, it’s been a few years), and he informed me and the rest of the country, that we shouldn’t worry about the money being “lost”. Â It was just some minor thing apparently. Â You know, he was right too. Â Compared to the other 700 billion-quintrillion-dollars that have been wasted trying to subdue a country that has successfully defied every conqueror since Alexander the Great (3000 years ago), 9 billion is piss-ant money. Â Just do what dick says, “move along, nothing to see here……”
Excellent discussion! I don’t see us being unable to afford our National Defense. However as has been mentioned, we’re also defending all of Europe and significant portions of Asia.
Not only does that dramatically increase our military spending due to all of the foreign deployments, it practically eliminates those host nations’ defense expenditures and pumps billions (tens of billions?) of U.S. spending into their local economies.
Then spread thin across the globe, we leave regular army units sitting on station in Germany while we send National Guard units from Paducah, KY and Fargo, ND to Afghanistan.
Seems like it would be pretty easy to reduce expenses if anyone was actually inclined….
Penny Lane & ,Jonny V
The tip of the iceberg.
Remember what happened September 10, 2001?
http://www.cbsnews.com/stories/2002/01/29/eveningnews/main325985.shtml
The next day was convenient, huh?
Still, we are undoubtedly being scammed and robbed blind as Eisenhower warned, among other things.