Follow us on social

google cta
What Paul Krugman gets wrong about the military industrial complex

What Paul Krugman gets wrong about the military industrial complex

The NYT columnist uses irrelevant metrics to argue for giving more money to the Pentagon.

Analysis | Military Industrial Complex
google cta
google cta

New York Times columnist Paul Krugman would like you to know that the term “military-industrial complex” (MIC) is outmoded and that we spend far less on the Pentagon now than we did when President Eisenhower introduced that phrase in his 1961 farewell address.

Krugman is wrong on both counts.

First, he uses a misleading measure of Pentagon spending that obscures rather than reveals just how enormous our investment in that agency is by historical standards. He notes that Pentagon spending is a smaller share of the national economy than it was in Eisenhower’s day. This is true but irrelevant. There is no reason that Pentagon outlays should track the growth of the overall economy, which is six times as large now as it was in 1961. But no one in their right mind is suggesting a sixfold increase in the Department of Defense’s budget. The level of military outlays should be determined by how much is needed to address the security risks we face, not by arbitrary comparisons with the size of the economy.

The best measure of Pentagon spending is — wait for it — how much we actually spend on the Pentagon. Our current military budget is more than twice as much, adjusted for inflation, as it was in Eisenhower’s day. And if current trends continue, it is poised to reach $1 trillion or more in the next year or two. That may seem like a manageable sum to Mr. Krugman, but most taxpayers would disagree.

As for the relevance of the term “military-industrial complex,” it is more a question of linguistic preference than a reflection on the continuing influence of the arms lobby. Krugman is right to point out that U.S. involvement in the wars in Gaza and Ukraine is not being done at the behest of weapons makers seeking a big payday. But the big contractors are poised to profit from current wars, and their services don’t come cheap.

More importantly, the arms lobby has exploited the war in Ukraine to press for special favors that have nothing to do with defending that country: cushy multi-year contracts; reduced scrutiny that will enable more price gouging, cost overruns and performance problems; rushing arms sales out the door with less vetting of their human rights and strategic impacts; and supersizing the arms manufacturing base at taxpayer expense.

Whether you call it the MIC, the arms lobby, or the Salvation Army, the big weapons makers and their allies in Congress and the Pentagon have as much or more power and influence now as they did when Eisenhower left office.

The MIC, or whatever Paul Krugman chooses to call it, is still a lobbying powerhouse. Lockheed Martin and its cohort routinely team up with key members of Congress to add more money to the Pentagon budget than the department even asks for, mostly for weapons that are built in the states of those officials. It is a classic case of special interests overriding the national interest.

In pursuit of these excess funds, which can amount to tens of billions of dollars each year, the industry brings its impressive lobbying machine to bear. The arms industry makes tens of millions of dollars in campaign contributions every election cycle, with a focus on members of the armed services and defense appropriations panels. And the sums spent are not small. House Armed Services Committee chair Mike Rogers (R-Ala.) received half a million dollars in weapons industry contributions in the most recent election cycle, with other key members not far behind.

The arms sector spends even more on lobbying than it does on campaign contributions, employing over 800 registered lobbyists in all — more than one for every member of Congress. Most of these lobbyists have come through the revolving door from senior positions in Congress or the Pentagon, and they use their connections with former colleagues to curry favor for their corporate employers.

For example, a recent study that my colleague Dillon Fisher and I did for the Quincy Institute found that 80 percent of four-star generals and admirals who retired in the past five years went to work on behalf of the arms industry in one form or another: as board members, lobbyists, executives, consultants, or advisers to firms that invest heavily in the arms sector.

Can we afford to spend more on the Pentagon? Technically yes, but it would come at a high price, reducing our capacity to address other urgent national needs. The $12 to $13 billion the Pentagon spends every year on the overpriced, dysfunctional F-35 combat aircraft is more than the entire annual budget of the Centers for Disease Control. And in one recent year, Lockheed Martin received more federal funding than the State Department and the Agency for International Development combined. The Pentagon consumes well over half of the federal discretionary budget which is the part of the budget that is available for public investment. Environmental protection, public health, job training, criminal justice and other basic functions of government have to compete for what’s left after the Pentagon gets its oversized share of the pie.

I do agree with Krugman on one point: “By all means, let’s have a good faith argument about how much America should spend on its military.” But a thorough, balanced debate that actually leads to beneficial changes in spending and strategy will be extremely difficult to carry out without curbing the influence of the military-industrial complex.


A.PAES via shutterstock.com

google cta
Analysis | Military Industrial Complex
Veterans urge Trump to reject war with Iran
Top image credit: Actium/Shutterstock

Veterans urge Trump to reject war with Iran

QiOSK

As the U.S. threatens war with Iran and regime change in Cuba, a group of veterans is urging President Trump to pursue diplomacy and reject a return to “forever wars.”

“We urge you to reject calls for regime change wars and instead prioritize sustained, serious diplomacy,” the veterans wrote in an open letter published Thursday. “Pursuing peace through strength requires wisdom, not perpetual conflict.”

keep readingShow less
Laura Fernandez
Top image credit: Costa Rica's President Rodrigo Chaves shakes hands with president-elect Laura Fernandez during a press conference at the presidential house, in San Jose, Costa Rica, February 4, 2026. REUTERS/Mayela Lopez

Right-wing populism has Costa Rica at a crossroads

Latin America

The small country of Costa Rica, home to just over five million people and roughly the size of West Virginia, has long prided itself on being a bastion of democratic norms in Latin American politics.

To its north lie Nicaragua, El Salvador, and Honduras, nations that, over the past several decades, have experienced periods of near-social collapse and outright dictatorship. Nearby Colombia and Venezuela have wrestled with their own, well-documented crises. By contrast, Costa Rica has consistently ranked high among global democracy watchdogs, which have pointed to its strong institutional protections for voting rights, its high literacy rate, and its reputation for civic stability as hallmarks of a healthy and vibrant political system.

keep readingShow less
Lula Modi
Top image credit: New Delhi, Feb 21 (ANI): Prime Minister Narendra Modi with President of the Federative Republic of Brazil Luiz Inácio Lula da Silva, at Hyderabad House, in New Delhi on Saturday. (ANI Photo/Naveen Sharma via Reuters Connect

What Brazil's president did instead of joining Trump's 'Board of Peace'

Latin America

When Brazilians vote for president in October, multilateralism will likely be on the ballot. President Luiz Inácio Lula da Silva has long stressed diversifying and deepening the diplomatic and trade relations of Latin America’s largest nation with the rest of the world.

His most likely opponent, Senator Flávio Bolsonaro, the son of former President Jair Bolsonaro, will argue that Brazil belongs squarely in Washington’s camp.

keep readingShow less
google cta
Want more of our stories on Google?
Click here to make us a Preferred Source.

LATEST

QIOSK

Newsletter

Subscribe now to our weekly round-up and don't miss a beat with your favorite RS contributors and reporters, as well as staff analysis, opinion, and news promoting a positive, non-partisan vision of U.S. foreign policy.