William Nordhaus
Yale University
One way to consider the size of our military expenditures is by comparison with other countries. Other countries face security threats, and they respond by allocating funds to security. Is it plausible that the United States faces a variety and severity of objective security threats that are equal to the rest of the world put together? I would think not. Unlike Israel, no serious country wishes to wipe the U.S. off the face of the earth. Unlike Russia, India, China, and much of Europe, no one has invaded the U.S. since the nineteenth century. We have common borders with two friendly democratic countries with which we have fought no wars for more than a century. Only one country has nuclear weapons that can seriously threaten our existence. One conclusion from this thought is that either the U.S. has a vastly exaggerated sense of threats to it; or that other countries, even the richest ones, are universally neglectful of the threats to their security.3This simple thought experiment is of course too simple. The future might be different from the past, and we may be facing a “different kind of enemy.” If that is indeed the case, then we would presumably be restructuring our spending to better meet the enemy rather than retaining the same basic structure, a point I return to below. Additionally, it might be that national security is a global public good that the U.S. is supplying for the rest of the world. This is a complicated issue. During the cold war, some countries probably felt that the U.S. was indeed protecting them. The U.S. did go to war to defend orliberate dozens of countries over the last century. However, more recently, many countries, even our traditional allies in Western Europe, especially their populations, appear to believe that our supply of the public good of security is in fact harming their security rather than enhancing it. Additionally, under the Bush doctrine, whatever the rhetoric, it is clear that our military strategy and actions are driven primarily by U.S. security issues, and alliances are primarily ones of convenience and opportunity.
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