Bases Quote by David Graeber
“Meanwhile, the U.S. debt remains, as it has been since 1790, a war debt; the United States continues to spend more on its military than do all other nations on earth put together, and military expenditures are not only the basis of the government's industrial policy; they also take up such a huge proportion of the budget that by many estimations, were it not for them, the United States would not run a deficit at all.”
About This Quote
Source Book: Debt: The First 5,000 Years, 2011
The U.S. spends so much on military that without it the federal budget would be balanced, highlighting defense’s outsized fiscal role.
In simple terms: U.S. military spending keeps the federal deficit from disappearing.
Key Takeaway
Consider the fiscal impact of defense spending.
Themes
economics
politics
military
budget
history
Mood
analytical
critical
Type
explanatory
informative
When to use this quote
- budget analysis
- policy debate
- public awareness
Key Concepts
public policy
war economy
fiscal sustainability
Questions to Reflect On
- What are the non‑economic reasons for high military spending?
- How would reducing defense affect national security?
A Different Perspective
Defense spending also serves strategic and political goals beyond budget balance.
![“In April, 1926, France and the United States finally negotiated a war debt settlement at forty cents on the dollar. The [French] budget was at last fully balanced. Still the franc kept falling. By May, the exchange rate stood at over thirty to the dollar. With a currency in free-fall, prices now…” quote by Liaquat Ahamed](https://sms4smile.com/quotes/img-quotes/b17/liaquat-ahamed-110670_debt-settlement_in-april-1926-france-and-the-united-stat_1686051.jpg)
