Military Budgets and Defense Spending

The portion of the national budget that is allocated to defense covers salaries, training, and health care; maintains and purchases arms, equipment, and facilities; funds military operations; and funds the development of new technologies. RAND analyzes defense expenditures and advises military and civilian decisionmakers on options to maximize the effectiveness, continuity, and innovation of the nation's military force.

Research conducted by: RAND Arroyo Center; RAND Project AIR FORCE; RAND National Security Research Division; RAND Europe

Reports (101)

Setting Priorities in the Age of Austerity: British, French, and German Experiences — May 6, 2013

Examines the British, French, and German armies' approaches to accommodating significant budget cuts while attempting to sustain their commitment to full spectrum operations.

Assessment of Beddown Alternatives for the F-35 — Apr 3, 2013

RAND assessed the savings potential of reconfiguring the U.S. Air Force's combat-coded F-35s into larger squadrons and adjusting the Primary Aerospace Vehicle Authorized mix across the Active and Reserve Components.

Assessment of Beddown Alternatives for the F-35: Executive Summary — Apr 3, 2013

RAND assessed the savings potential of reconfiguring the U.S. Air Force's combat-coded F-35s into larger squadrons and adjusting the Primary Aerospace Vehicle Authorized mix across the Active and Reserve Components.

Portfolio Optimization by Means of Multiple Tandem Certainty-Uncertainty Searches: A Technical Description — Mar 15, 2013

This paper describes a new approach and associated search schemes for optimization under uncertainty. Analysts can apply this method to a problem with a significantly larger number of decision variables, uncertain parameters, and uncertain scenarios.

Obtaining Life-Cycle Cost-Effective Facilities in the Department of Defense — Mar 5, 2013

The Department of Defense constructs, operates, and maintains numerous facilities. This report shares RAND's description and assessment of the process used to obtain life-cycle cost-effective facilities and how it affects construction options.

Improving Air Force Depot Programming by Linking Resources to Capabilities — Nov 21, 2012

Depot purchased equipment maintenance (DPEM) funds the bulk of the work done at Air Force depots that does not involve the repair of spares or work on modification programs. This report analyzes how to better program for DPEM.

A Strategy-Based Framework for Accommodating Reductions in the Defense Budget — Oct 29, 2012

RAND analysts posit that federal budget deficit pressure may result in further Defense Department reductions, and suggest starting from a strategy basis in determining cuts, prioritizing challenges, and identifying where to accept more risk.

NATO Faces Growing Fiscal Austerity and Declining Defense Budgets — Oct 22, 2012

Seven NATO countries are reducing the size of their armies, navies, and air forces. The capacity of these major European powers to project military power will be highly constrained.

Naval Aviation Budgeting: Cost Adjustment Sheets and the Flying Hour Program — Oct 4, 2012

RAND assessed the contribution of Cost Adjustment Sheets (CASs) to the accuracy of Navy's Flying Hour Program budgets, whether CAS usage is correlated with expenditure-per-flying-hour growth, and why CASs have been used more by the F/A-18 program.

Expendable Missiles vs. Reusable Platform Costs and Historical Data — Oct 3, 2012

This report presents an analysis of historical use of air-to-ground attacks to assess the economic wisdom of relying primarily on expendable weapons, such as cruise missiles.

Star Spangled Security: New Harold Brown Memoir Released — Oct 2, 2012

When the Soviet Union posed an existential threat to America, there was no room for mistakes. Secretary of Defense Harold Brown, under President Carter, called on his former experience as Secretary of the Air Force (under LBJ in the Vietnam War), as director of Livermore Laboratory, and as director of U.S. Defense Research and Engineering (under Kennedy) to deter the Soviets during the Cold War. Brown's new memoir gives an insider's view.

Saving the Government Money: Examples from RAND's Federally Funded Research and Development Centers — Oct 2, 2012

This publication lists and briefly summarizes some projects undertaken by RAND's three federally funded research and development centers that have helped save the government money or that have identified ways to do so. Amounts saved are estimated.

Methodologies in Analyzing the Root Causes of Nunn-McCurdy Breaches — Sep 27, 2012

Congressional concern with cost overruns in some major defense acquisition programs led to an investigation of root causes in six programs, enabling RAND to develop a methodology for carrying out such analyses.

The Air Force's Experience with Should-Cost Reviews and Options for Enhancing Its Capability to Conduct Them — Sep 6, 2012

Examines the Air Force experience with should-cost reviews — a special form of contract cost analysis intended to identify contractor inefficiencies and lower costs — and options for enhancing the Air Force's capability to conduct such reviews.

Root Cause Analyses of Nunn-McCurdy Breaches, Volume 2: Excalibur Artillery Projectile and the Navy Enterprise Resource Planning Program, with an Approach to Analyzing Complexity and Risk — Aug 27, 2012

Concern with cost overruns in major defense acquisition programs led Congress to direct investigation of root causes of programs that breached Nunn-McCurdy thresholds. RAND applied its methodology to Excalibur and the Navy's ERP.

Is Military Disability Compensation Adequate to Offset Civilian Earnings Losses from Service-Connected Disabilities? — Aug 8, 2012

Examines the adequacy of disability compensation to offset the reduction in civilian earnings opportunities that are associated with veterans' service-connected disabilities.

Air Force Materiel Command Reorganization Analysis: Final Report — Jul 6, 2012

A congressionally mandated review of the proposed restructuring of Air Force Materiel Command examined the proposal and its effect on life-cycle management, weapon system sustainment, and overall support to the warfighter.

Supplier Relationship Management at Army Life Cycle Management Commands: Gap Analysis of Best Practices — May 23, 2012

Examines the Army's supplier relationship management practices, identifying best practices and focusing on how the Army can gain better performance and reduce total costs.

Funding Ammunition Ports — May 9, 2012

The U.S. Army's two ammunition ports -- Military Ocean Terminal Concord and Military Ocean Terminal Sunny Point -- have different funding approaches and accounting systems, and a central question is what the most appropriate financial structure should be.

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