"THE DEBT BOMB" More Spending on Interest Than On National Defense

 

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" THE PROJECT ON GOVERNMENT OVERSIGHT - THE BUNKER" By Mark Thompson

"Spending like a drunken sailor threatens national security. For the first time in U.S. history: the nation spent more money buying nothing ($950 billion in interest) than it did on its military ($826 billion)."

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"There it was October 8, buried discreetly on page 5 (PDF) of yet another eye-glazer from the Congressional Budget Office. In 2023, the nation spent $776 billion on its military — which buys something — and $710 billion in net interest on the public debt — which buys nothing. But in fiscal 2024, which ended September 30, those numbers flipped.

The Bunker has been decrying waste, fraud, and abuse in the U.S. military for nearly a half-century. But everyone’s three favorite whipping boys when it comes to Pentagon spending pale alongside the nearly trillion dollars we spent on interest last year. That’s money we paid to borrowers, so we didn’t have to make the tough decisions required to live within our means.

We have simply opted to kick this annual binge-spending, now approaching $36 trillion, down a generation or two so our kids and grandkids can foot the bill. When The Bunker arrived in D.C. to cover the Pentagon in 1979, the national debt was $805 billion. That’s just over 2% of what it is today. OK, Boomers. Good job! According to CBO, interest paid on the national debt grew by a stunning 34% ($240 billion) from 2023 to 2024 (PDF). Those are numbers that would make an F-35 blush.

Congress approves all government spending, but more than half of the annual budget goes to mandatory programs like Social Security and Medicare locked (for now) into law. The rest — so-called discretionary spending, appropriated annually — is basically split between the Pentagon and everything else the federal government does (education, transportation, justice, the environment, etc.). But as that mandatory spending — and interest on the national debt — grows, there’s less left over for the Pentagon and all that other stuff. Both categories need deep cuts to avert financial disaster.

Neither presidential candidate is riding to the rescue. Vice President Harris’s economic proposals could add as much as $8 trillion to the national debt over the coming decade, according to an October 7 assessment by the non-partisan Committee for a Responsible Federal Budget. Former President Trump’s fiscal blueprints, the group projected, could add $15 trillion.

Such profligacy eventually will do more harm to U.S. national security than any foreign foe ever could." 

POGO - The Bunker: Debt Bomb

Pulitzer Prize-winner Mark Thompson has been covering the Pentagon for more than 45 years.