The Pardu

The Pardu
Watchful eyes and ears feed the brain, thus nourishing the brain cells.

Monday, April 10, 2017

Chinese Billionaire Hits US Federal Spending

Jack Ma, the Chinese billionaire and founder of Alibaba, spoke out about world economics with a focus on the defense spending laden tendencies of U S politicians spending. Ma spoke among other international "money leaders and industrialist at a recent economic conference.

Despite conservative, GOP and Donald Trump's rhetoric about the fledgling US military (and all associated matters) the US is without question spend more than a collective seven of the top international defense spenders. 

Th graphic does not include a Y" Axis with descriptive spending level, but it clearly shows how U.S. military spending dwarfs the budget of China, the #2 country among world defense spending leaders. 
Take a look at a chart from 2014. The chart offers "Y" Axis details relevant to the topic: expenditures in billions.

If you want a revealing "Y" Axis, the next chart shows 2014 spending.

BI_graphics_Millitary budget compare chart 2
National Priorities provides even more stark evidence of defense spending overkill.

Before we proceed, you may find value in the differentiation between Mandatory Spending and Discretionary Spending: Federal Budget 101.

National Priorities
In the fiscal year 2015, military spending is projected to account for 54 percent of all federal discretionary spending, a total of $598.5 billion. Military spending includes all regular activities of the Department of Defense; war spending; nuclear weapons spending; international military assistance; and another Pentagon-related spending.
Mandatory spending does not include infrastructure expenditures. It seems the Chinese billionaire is point-on in his criticism of what was once a great economic power. 

In 2016, President Obama's economic team proposed a federal budget which looked as such:
Image result for is infrastructure spending mandatory or discretionary spending

Image result for is infrastructure spending mandatory or discretionary spending

You may have noticed something a bit different regarding "Transportation" Spending. Did you notice some transportation (Infrastructure) expenses were proposed in the Mandatory Budget (as well as in the discretionary Budget)?

A quick search doesn't show Obama was at all successful at inserting infrastructure Transportation Spending in the 2016 Federal Budget.

Donald Trump and Paul Ryan have both stated a need to increase defense spending. How ridiculous are Republicans?

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