ABSTRACT
This chapter discusses the potential impact of both security-related international factors and political-economic pressures on the US Department of Defense resource allocation system. The most compelling explanation of changes in US department of defense (DoD) resource allocations attributes the changes to international, strategic considerations such as unfavorable shifts in the superpowers' balance of forces, involvement in international crises and wars, and other security-related considerations. Resource allocations in the US DoD result from the following processes: budgetary calculations proceed from a secure historical expenditure base with minor adjustments of previous appropriations and frequent domestic and international shocks disrupt the normal allocation process. While domestic economic and political pressures influence DoD budgeting, the scope and distribution patterns of the budget may also be determined by several important international forces. The emergence of a bloc of negative mass opinion is expected to lead to significant deviations from incremental/fair share budgeting in the defense sector, reflected primarily by cuts in procurement programs.
