<<  <  >  >>

32. Figures on R&D spending on the F-15 and

20. Paul F. Pineo and Lora Lumpe, Recycled

F-16 fighters are calculated by the author from

Weapons: American Exports of Surplus Arms,

U.S. Department of Defense, "Program Acqui-

1990­1995 (Washington: Federation of American

sition Costs by Weapons Systems," FY74 through

Scientists, 1996), pp. 16­17.

FY95.

21. For a discussion of the relative merits of build-

33. Congressional Budget Office, Reducing the

ing the F-22 versus upgrading current systems,

Deficit: Spending and Revenue Options (Washington:

see David Evans, "Catch F-22," In These Times, July

Congressional Budget Office, March 1997), p. 91.

11, 1994; "Air Force Faults GAO on F-22 Study,"

Aerospace Daily, March 28, 1994; Mark Lorell et al.,

34. Sam Johnson, "The Defense Jobs and Trade

The Gray Threat: Assessing the Next-Generation

Promotion Act of 1999," Congressional Record,

European Fighters (Santa Monica, Calif.: RAND

February 23, 1999, p. E247; and Loren B.

Corporation, 1995); and Williamson Murray,

Thompson, "26 U.S.C. 923 (a) (5): Bad for Trade,

"Hard Choices: Fighter Procurement in the Next

Bad for Security, and Fundamentally Unfair," in

Century," Cato Institute Policy Analysis no. 334,

Out of Control: Ten Case Studies in Regulatory Abuse

February 26, 1999.

(Washington: Lexington Institute and the

Institute for Policy Innovation, 1998), pp. 17­18.

22. Secretary of State, Congressional Presentation for

Foreign Operations, Fiscal Year 2000 (Washington:

35. Ibid., p. 17.

U.S. Department of State, 1999), pp. 1142­46.

36. "Report of the Presidential Advisory Board,"

23. Ibid., pp. 1147­48.

p. 16.

24. Quoted in Douglas Barrie, "Boeing Sweetens

37. For a more detailed discussion of the rationale

Polish Package," Defense News, February 22, 1999.

for treating the bulk of ESF funds as an indirect

subsidy for arms exports, see Hartung, Hidden

25. Defense Policy Advisory Committee on Trade,

Costs of the Arms Trade, pp. 37­38.

"A Report Outlining U.S. Government Policy

Options Affecting Defense Trade and the U.S.

38. Secretary of State, Congressional Presentation,

Industrial Base," November 1988, p. 18.

Fiscal Year 1999, pp. 990­95.

26. Calculations on the relative proportion of U.S.

39. Export-Import Bank, "Dual Use Determin-

arms exports accounted for by the FMS program

ations: As of February 7, 1999," memo from the

are from U.S. Department of Defense, Defense

Export-Import Bank, 1999.

Security Assistance Agency, Foreign Military Sales,

Foreign Military Construction Sales, and Military

40. Barbara Opall-Rome, "Pentagon Acts to Ease

Assistance Facts as of September 30, 1997 (Wash-

FMS Bureaucracy," Defense News, January 18,

ington: U.S. Department of Defense, 1998).

1999.

27. "Hundred Million Dollar Gift to Exporters

41. Calculations of State Department personnel

Slips through Congress," Arms Sales Monitor, no.

and resources devoted to arms export promotion

33 (February 1997): 3.

are by the author, drawing upon U.S. Department

of State, Bureau of Political Military Affairs,

28. U.S. General Accounting Office, Foreign

"Congressional Submission for FY 1998,"

Military Sales: Millions of Dollars of Nonrecurring

November 1997. For additional details on the role

Research and Development Costs Have Not Been

of the State Department in arms export promo-

Recovered (Washington: U.S. General Accounting

tion, see Hartung, Hidden Costs of the Arms Trade,

Office, October 1988), p. 2.

pp. 16­18.

29. U.S. Arms Control and Disarmament Agency,

42. U.S. Department of Commerce, Pacific Rim

"World Military Expenditures and Arms Trans-

Diversification and Defense Market Assessment: A

fers 1997," www.acda.gov/wmeat.97htm.

Comprehensive Guide for Entry into Overseas Markets

(Washington: U.S. Department of Commerce,

30. Office of the Under Secretary of Defense for

November 1994), p. 33.

Acquisition and Technology, Worldwide Conven-

tional Arms Trade (1994­2000): A Forecast and

43. Ibid., p. 21. Emphasis added.

Analysis (Washington: U.S. Department of De-

fense, December 1994), p. v.

44. Charles Sennott, "The Show: America's

Muscle in an All-Star Cast," Boston Globe, February

31. Janne E. Nolan, "Report of the Presidential

11, 1996.

Advisory Board on Arms Proliferation Policy,"

President's Advisory Board on Arms Proliferation,

45. For details on the estimates of costs of air

1996, p. 17.

24