Austerity versus rot: Government capacity
The austerity neoliberal policy introduced into the US by Ronald Reagan took a long while to show serious repercussions. I argued that impact of reducing government workers and capacity didn't show so much because the US had overinvested in capacity previously.
The failure of FEMA in dealing with the post-Katrina aftermath in New Orleans under George W. Bush was to me, the first glaring example of the impact of austerity. Although this was accentuated by the agency having poor leadership as well. (Since then FEMA has performed badly under Republican administrations, specifically Trump, "A Post-Katrina Law Guards FEMA Resources. Why Hasn’t It Stopped Noem?," New York Times.)
Writing in The Atlantic, "U.S. Capabilities Are Showing Signs of Rot," military historian Phillips O'Brien makes the point that firing capable officials, and installing ideologically acceptable but less skilled people in their place creates "Rot." And that Rot is now very apparent in the US military, as shown by the performance in the current War against Iran.
Also in DHS under Noem, ICE ("Leaked Documents Show a Border Patrol Remade in the Image of Gregory Bovino," American Prospect), and the FBI, "How Kash Patel Wrecked FBI’s Ability to Stop an Espionage Attack," New Republic, among others. Tulsi Gabbard as Director of National Intelligence during war time is another example of rot. Richard Grenell at the Kennedy Center, most of the Secretaries in the Cabinet, etc.
The first Trump Administration's response to covid is another example of rot. This rot has been deepened by appointing anti-medicine people in high positions at the FDA and CDC, and with RFK Jr.--who believes his voice dysphonia was caused by the flu vaccine--the Secretary of HHS!
WRT to war, sure the US and Israel can pummel Iran at will, but expending million dollar missiles to shoot down $50,000 drones is a cost-benefit ratio that is unsustainable. Trump, who treats Ukraine like s***, has reached out to them for technical advice on dealing with drones. In effect, Ukraine has provided more aid in dollar value to the US than Trump's Administration has provided to Ukraine as it fights Russia's invasion of the country. (Fortunately, the US still shares intelligence with Iran. But in general it does everything in its power to promote Russia.)
From the article:
On multiple occasions after President Trump launched a massive air campaign against Iran this past weekend, retaliatory attacks by simply constructed Iranian drones have penetrated American defenses with serious results. For example, at least six U.S. soldiers died, and others were wounded, in an Iranian strike Sunday on a command facility in Kuwait. CNN reported that the Americans received no warning of the incoming drone. According to CBS News, the fortifications around the facility protected it from car bombs but not from a direct overhead strike. “We basically had no drone defeat capability,” an unnamed military official told the network.
... When a complex system starts to decay, the first signs are usually subtle. In the third century, after the Roman empire had reached its geographic maximum, literacy began to decline across Roman society. Education levels fell not only among soldiers, but among officers, aristocrats, and even emperors. The Roman army still looked formidable for years afterward. It had good equipment and could march well. Yet it was no longer as advanced relative to Rome’s enemies as it had once been. It fought as hard as ever, but less effectively.
... The U.S. military’s supremacy over foreign rivals is built on intensive training and the manipulation of advanced technology. By contrast, Hegseth has been stressing lethality and a warrior ethos instead of learning and reflection, to the point of blocking U.S. military personnel from taking courses at the most elite American universities. Yet the events of the past week underscore how shows of force alone may not defeat even militarily inferior enemies.
In Bahrain, a lone Iranian drone penetrated the headquarters of the U.S. Fifth Fleet, which oversees 2.5 million square miles of the world’s oceans. The incoming weapon destroyed an AN/TPS-59 radar unit intended to provide 360-degree air surveillance for U.S. forces. In a moment, Iranian equipment that cost perhaps $30,000 devastated a piece of U.S. military hardware estimated to be worth tens of millions of dollars.
Another term for this is "capital shallowing" or disinvestment. It's the opposite of "capital deepening" or investing ("Capital shallowing: the effect of disinvestment on government functioning").
Labels: anti-government philosophy, governance, investment concept, management, neoliberalism, provision of public services, public finance and spending, public investment, return on investment


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