Can The U.S. Afford Its Military Aid Promises?

U.S. defense spending and military aid costs are adding up. President Joe Biden signed a $95 billion U.S. military aid package in April 2024, allocating funding to Ukraine, Israel, Taiwan and the Indo-Pacific region. This is on top of the National Defense Authorization Act of 2024, which authorized military spending of a record $886 billion. U.S. military spending and aid packages bolster the American defense industry. “People think we’re sending a big check to Ukraine”, Gregory Hayes, CEO of RTX, told CNBC’s “Squawk Box”. “The fact is what most of that money will do will go to support American defense industries here in the U.S."

The five largest U.S. defense companies, Lockheed Martin, RTX, General Dynamics, Boeing and Northrop Grumman, had Department of Defense contracts totaling more than $118 billion in fiscal year 2022. “There’s a lot of foreign countries that get aid from the United States that’s predicated upon using that aid to buy U.S. hardware,” said Ken Herbert, aerospace and defense analyst at RBC Capital Markets, told CNBC.

Watch this video to learn more about where the U.S. sends military aid and personnel and how defense spending impacts the world at large.

Chapters:
0:00 Introduction
1:44 Chapter 1 - Where the U.S. sends money
5:28 Chapter 2 - U.S. defense companies
8:37 Chapter 3 - Boots on the ground

Produced by: Shawn Baldwin
Edited by: Andrea Miller
Animation: Jason Reginato
Supervising Producer: Lindsey Jacobson
Additional Footage: Getty Images

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Can The U.S. Afford Its Military Aid Promises?

[druryd]

They forgot to include the part of how much money is made on weapon sales and corporate kickbacks.

[hourbee]

Now you know why so many Americans don’t have healthcare

[khawajarashid]

Here’s our money. Now buy our products and give us our money back 😂

[ronch]

Lol. "Police"?! Call it what it is, a security force for maintaining America's political interests and resources

[eagledefenseusa]

Israel has universal healthcare. The US does not, but could with all of the money our government sends overseas.

[pomsouvannasoth]

My son’s school may lose six teachers due to the lack of funds.

[Mudcrop]

The us needs to spend on its own people

[FUTBOLis]

Fun fact free college for all Americans would only cost 58 billion.

[maamriabassem]

World's policeman or world's murderer and biggest problem??

[bobsthea]

916 billion dollars for military yet tax cuts is more favourable for the riches and bussiness ?
kinda weird isn't it

[Sonny]

Can't even let us buy affordable chinese goods.

[avonfettydale]

But I thought the one time $1200 stimulus’s was too much money and caused inflation

[fawazsaeed]

The American people are tired of this BS money laundering!

[Jurmyhyle]

Why are we policing a world that doesn't even like us?

[angelgodric]

We need universal healthcare now
We need a fair tax system where all pay the same percentage is crazy that companies pay 15-30% less taxes than the working class
Need a law that stops corporations from owning a house
Where are our leaders at

[ayomax]

It’s not about policing for peace it’s to control the currency 💵

[Jubes]

35 trillion in debt, going up over a trillion a year. I don’t think anyone is serious about the real threat to the nation.

[alphadiallo]

While China is making moves in trades, the US is concerned about wapons and military spendings

[abhinavkumar]

Well not many people are getting that the dude said almost 80% of money circulates in US economy.
So every 1 billion dollar aid means US companies get 800 million dollars which is used for paying salaries of workers who work in defence sector, the raw material costs etc.
So basically with war in Europe, US is running its economy.


US companies have already invested way too much in their defence supply chain. That means you simply cant shut it down. Millions of jobs will be lost.
So its kind of that US need instability in world so they can sell what they make best i.e weapons.

[barrettbritt]

We can debate about what this money could be used for all day. Healthcare, higher education, childcare, infrastructure/public transport, veteran’s benefits, fixing social security, etc. But the one thing we can all agree on is that every cent spent on military operations abroad is a cent that is not going back to benefit the taxpayers! I.E., a WASTE!