National Security Implications of Long-Term Deficit Spending
Abstract
Continued deficit spending by the federal government poses a risk to national security. As the national debt grows, interest payments consume an increasing proportion of the federal budget each year, crowding out discretionary spending. The DoD spends the largest proportion of discretionary budget, and as such, stands to absorb significant reductions in the future based on increasingly non-discretionary debt service and entitlement spending. This research paper explores the impact of ongoing deficit spending in terms of future defense budgets, investor confidence and interest rates, the economic impact of competition for financing, implications for international influence and potential financial leverage of creditors, and our ethical responsibility to future generations. The United States economy is in a downward financial spiral that needs to be addressed near-term to prevent future potentially catastrophic consequences.
Document Details
- Document Type
- Technical Report
- Publication Date
- Feb 01, 2010
- Accession Number
- ADA519892
Entities
People
- J. A. Hagler
Organizations
- United States Army War College