Investing in America's Defense: Using Innovative Financial Tools to Build and Strengthen the Industrial Base

Abstract

This paper explores the historical success of the industrial base during World War II and provides an overview of the factors that have led to the current state of the U.S. industrial base. The U.S. capital markets are considered the most robust in the world, with a deep and diverse pool of capital providers and high liquidity. Implementing modified forms of inventory financing through Defense Production Act , authorities can encourage industry to rebuild manufacturing capabilities to address future challenges. Additionally, the issuance of debt securities targeting industrial base production can increase capacity while also counteracting inflationary pressures. By tapping into the strengths of its financial markets, the United States can build a resilient industrial base that supports its economic interests while strengthening national security and deterring aggression.

Open PDF

Document Details

Document Type
Technical Report
Publication Date
May 12, 2023
Accession Number
AD1209102

Entities

People

  • Jonathan J. Calhoun

Organizations

  • Naval War College

Tags

DTIC Thesaurus Topics

  • Fluids
  • Inventory
  • Manufacturing
  • National Security
  • Production
  • Second World War
  • Security
  • Targeting
  • United States
  • War

Fields of Study

  • Economics

Readers

  • Economics
  • Strategic Security Studies