War Profiteering and the Concentration of Income and Wealth in America

How Escalation of War and Military Spending Are Used as Disguised or Roundabout Ways to Reverse the New Deal and Redistribute National Resources in Favor of the Wealthy.

Escalating Military Spending: Income Redistribution in Disguise

Critics of the recent U.S. wars of choice have long argued that they are all about oil. "No Blood for Oil" has been a rallying cry for most of the opponents of the war.

It can be demonstrated, however, that there is another (less obvious but perhaps more critical) factor behind the recent rise of U.S. military aggressions abroad: war profiteering by Pentagon contractors.

Frequently invoking dubious "threats to our national security and/or interests," these beneficiaries of war dividends, the military–industrial complex and related businesses whose interests are vested in the Pentagon’s appropriation of public money, have successfully used war and military spending to justify their lion’s share of tax dollars and to disguise their strategy of redistributing national income in their favor.

This cynical strategy of disguised redistribution of national resources from the bottom to the top is carried out by a combination of (a) drastic hikes in the Pentagon budget, and (b) equally drastic tax cuts for the wealthy. As this combination creates large budget deficits, it then forces cuts in non-military public spending as a way to fill the gaps that are thus created. As a result, the rich are growing considerably richer at the expense of middle– and low–income classes.