Abstract

The Bush administration’s budget for fiscal year (FY) 2003 includes the largest increase in defence spending – about $48bn – since the beginning of the Reagan administration. Judging from early congressional hearings, however, the increase is not enough to satisfy the demands of the military services or of defence advocates in Congress. Indeed, properly calculated, the funds available for new projects are about half the headline increase. The budget has done little to resolve ongoing debates about procurement levels, or the tension between transformation and recapitalisation.

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