Late
in April, as the conventional combat in Iraq was winding down,
shortly after the regime of Saddam Hussein was toppled by US
armed forces, President Bush was flown aboard the USS Abraham
Lincoln off the coast of southern California in the cockpit
of a Navy S3 jet aircraft. The jet’s tail hook caught
the landing cable bringing the plane to a dramatic stop, and
out of the cockpit climbed Bush, helmet in hand, obviously relishing
in his fantasy of being a combat pilot.
The maneuver was purposefully symbolic; it had placed the Commander
in Chief in a “combat” role during a time of war
aboard an aircraft carrier with an intentional backdrop of open
seas. White House strategists had been sure to delay the incoming
carrier so that Bush’s visit would come before the mainland
of the United States was visible. The sense of danger was palpable
regardless of its intended construction. In effect, the situation
and set were designed to impress upon all those present, and
all those gazing on through their televisions, that the nation
was still at war, and that the President had somehow participated
and fraternized with the troops.
Victory
was declared, justice rendered, and a job well done, as Bush
rallied those aboard from the assumed persona of a warrior.
His caricature of a soldier was aided by the military uniform
of a pilot which he wore replete with his own nametag and wings.
George W. Bush never fought in any war, and although his service
as a Texas Air National Guard pilot is highly suspect, he carried
himself as though a veteran warrior of the highest honor.
Bush
was fulfilling his nom de guerre as the commanding chieftain
of the warfare state. Head held high and relishing the taste
of the nation’s second major war in three years, Bush
would attempt to punctuate his administration’s international
focus by declaring an end to the conflict, and a shift in his
attention toward the domestic economy. But for his stay aboard
the Lincoln, the President would remain a warrior.
After
spending the night aboard the nuclear powered craft, Bush departed
in the morning headed back to “the Homeland” to
address the nation’s economic problems. Regardless of
his triumph in a lopsided short-term battle, the President could
not avoid the issue of American economic well-being (presently
a serious illness). Since Bush assumed office the economy has
faltered, first quite clearly in the aftermath of 9-11, but
later through more sustained and systemic problems which began
much earlier and unrelated to the terrorist attacks on the WTC
and Pentagon.
By
May of 2003, unemployment had steadily climbed to 5.8%, an increase
of 1.6% in the 24 months since May of 2001 (it currently measures
at 6.1% and climbing). In addition, most indicators of economic
growth have slowed as the nation’s corporate crimes and
scandals continue to unfold. Bush’s military victory speech
alone could not placate even the most ardent supporters of the
US invasion of Iraq. Republican advisors, including the most
vehement hawks and neo-cons recognize this fact. Thus, George
Bush would return from the “warfront” where victory
had been achieved to reassure the American people that his economic
plan would bring about a recovery, and spur renewed investment
and growth.
Santa
Clara, California was the location chosen for Bush’s economic
address. Stimulus and job creation were to be the focus, and
what more fitting venue for a wartime leader’s economic
stimulus speech than a military-industrial manufacturing facility
that has shown great economic fortune during the same period
of decline for most of American businesses? Such a corporation,
in the Bush Administration’s figuring, is a perfect example
for the rest of the American economy. Bush flew in from San
Diego to the greater San Jose area where his motorcade sped
quickly across the region’s freeways toward United Defense
of Santa Clara, the perfect opportunity to unveil the Administration’s
economic stimulus and recovery plan.
United
Defense’s Santa Clara business operations are one of the
largest military-industrial sites in the Bay Area. The facility
manufactures the Bradley Fighting Vehicle, an integral component
of the US Army’s infantry divisions. The plant also produces
the Hercules Tank Recovery Vehicle, the same machine that helped
to tear down a bronze statue of Hussein in that now infamous
televised symbol of the American overthrow of the Baathist government
in Baghdad. The location implicitly linked a victorious war
and an adept warrior administration with the economy. It also
guaranteed a favorable, even manic audience.
Within
the United Defense plant, Bush began with a tour of the facility’s
production floor. Inside of the combat systems integration lab,
the president had his second opportunity in two days to play
soldier. Bush took the controls of a simulated fighting vehicle
and let loose a barrage of firepower on a fictitious computer
generated enemy. (1). While Bush was kept busy playing war games
and wreaking virtual carnage, the employees of United Defense
were treated to a short blustery video featuring their product,
the Bradley Fighting Vehicle, destroying and tearing apart the
deserts of Iraq. The footage was compiled during the most recent
invasion, and showed victorious scenes of US soldiers racing
through the sands and streets of Baghdad. Although Bush had
come to talk economics, the visit oozed with militarism.
When Bush finally entered to give his short speech, he praised
the 1500 military-industrial employees from a podium superimposed
on a backdrop of large caliber gun barrels; “You not only
helped save lives, but you are an agent for peace…”
Bush continued that the workers within the Santa Clara plant,
and all the employees of the US military enterprise have, “allow[ed]
us to redefine war on our terms so the world will be more free
and more peaceful.” The employees roared in support.
Addressing what was supposedly the main topic of his visit,
economic recovery, Bush told the workers that further tax cuts
and an economic recovery package were key to ending the recession.
Focusing his message on the Bay Area the president concluded,
“I know there’s people hurting here in Silicon Valley.
This incredibly vibrant part of the American economy over the
last couple years has not been meeting its full potential…
the plan I just outlined is one that will boost the economy
in Silicon Valley.” Without having really said much on
the details of his economic package, the President left behind
a cheering hanger filled with employees of one of the few American
corporations not negatively affected by the national economic
downturn that has hit Silicon Valley especially hard.
The President and his administration could not have picked a
better, or more welcoming crowd to host their visit in Silicon
Valley. No Bay Area business has been faring better than United
Defense in the wartime economy. While much of the region has
been laying off workers, and trimming budgets, United Defense
has been expanding operations and reporting heavy profits. Four
months prior to the Bush visit, United Defense reported an increase
in its net income of 84 cents per share ($43 million), and a
revenue rise of 29 percent from $404 million in 2001, to $521
million in 2003. (5). On the eve of the Commander in Chief’s
appearance, business was booming for United Defense. Days after
the president’s economic recovery speech at the corporation’s
Santa Clara site, United Defense announced its $197 million
dollar contract to remanufacture Bradley Fighting Vehicles,
much of which would be carried out in the Santa Clara plant.
Meanwhile the majority of Bay Area businesses continue to suffer.
Most of the civilian oriented technology and manufacturing firms
have been unable to rely on a massive military buildup, a remobilization
of the American war machine, to stimulate demand. In fact, much
of the American economy will continue to linger in recession
if a massive defense buildup continues as the trademark of the
Bush Administration’s economic policy. While United Defense,
along with Lockheed Martin of Sunnyvale, Bechtel of San Francisco,
and other military enterprises are experiencing a renewed, almost
unprecedented demand for their weapons systems and military
products, most sectors of the economy are being hung out to
dry.
From May of 2001, to May of 2003, the two-year period coinciding
with Bush’s economic recovery speech at United Defense,
the US economy has laid off 2,244,000 employees. A staggering
1,201,000 of these job losses were hi-technology positions in
manufacturing industries such as; computers and electronics,
communications equipment, semiconductors, and electronic instruments,
and information services such as; internet publishing/broadcasting,
telecommunications, data processing and ISPs, and information
services, and computer design. (2). These industries were struck
hard by the economic downturn and could no longer rely on a
primary military patron with deep pockets to revive them as
they once could have.
Silicon Valley, a locus of these hi-tech industries, and information
rich services has found itself in decline. The Bush speech on
economic recovery was especially ironic given the historic nature
of the region as a past hotspot for military contracted work.
But signaling a revival of the militarized economy, Neil Orman
and Tim Roberts of the Silicon Valley Business Journal wrote
in late September of 2001 that;
“Silicon
Valley is poised to play a big role in the defense buildup for
the war against terrorism, a throwback to an era when defense
drove the regions high-tech innovation… Employment in
defense here peaked in 1989 at 41,000. But following the fall
of the Berlin Wall and the postponement of the Reagan era missile
defense system, employment began to drop, hitting a low of 21,400
last year… Now Defense spending is expected to grow again,
and Valley companies, which make everything from biological
weapons sensors to signaling equipment for intercepting the
phone calls of terrorists, are expected to benefit.” 4.
Regardless of what most economists and businesses are reporting,
the American economy is booming… for the military industrial-complex
that is. Times are especially sweet for corporations with close
ties to the White House. Nearly every weapons manufacturer has
posted significant earnings and vamped up production lines in
the past two years. All the while, most of the economy flounders
without federal support or guidance.
For
Bush and company, economic stimulus through government spending
has only one acceptable route; military spending. The total
military budget for the US, which is pushing the $400 billion
dollar mark, is sure to wet the lips of America’s military
contractors.
The
Washington Business Journal reported in June of 2001 that the
Capitol region’s military contractors “are licking
their chops over a Republican administration that wants to overhaul
defense spending and build a national missile defense system.”
(6). More so, executives within America’s largest military
enterprises are finding themselves encapsulated in a growing
market, in many ways impervious to the proclivities of the larger
civilian markets. “The general feeling among defense contractors
is that we’re still very bullish.” Says Paul Lombardi,
CEO of DynCorp. “All the trends point in the right direction.”
The Director of Corporate Communications for Logicon, a Northrop
Grumman subsidiary, exclaims that, “We’re excited
about the administration’s outlook on defense spending.”
Excitement
within the nation’s military-industrial complex over a
renewed militarization of the US economy is spreading across
every region of the nation where significant sums of DoD procurement
dollars are spent. St. Louis, Missouri experienced an influx
$11.5 billion in contracts for weapons following the first year
after September 11, 2001. Boeing has been the biggest winner
in the St. Louis economy, but the military’s pork barrel
is a deep and generous one. Jim Meier of Sabreliner Corp., a
military aircraft services firm located in St. Louis commented
during the buildup to the invasion and occupation of Iraq;
“We
see a lot of opportunities on the horizon, regardless of whether
there is a shooting war with Iraq.” But that in the hopeful
prospect of such a “shooting war” Meier added, “Following
the Gulf War, we saw a significant increase in business, particularly
in turbine engines for helicopters. We expect the same if we
get in a conflict in Iraq.” (7).
In
Ohio the weapons industry is faring far better percentage wise.
The state has seen an explosive 63% growth in US military contracts
since 2001. The biggest winners in Ohio include BF Goodrich’s,
Goodrich Landing Gear division with contracts valued at hundreds
of millions of dollars, General Electric’s Aircraft Engines
operation in Evendale, and General Dynamics, who run a tank
manufacturing plant in Lima. (8).
The
warfare economy in Ohio has so far created 12,000 jobs in the
state, but also has had the effect of retarding more stable
and valuable civilian economic growth. “If we do go to
war, I think it would benefit Ohio (defense contractors),”
says Pat Valente of the Ohio Department of Development, “but
at the expense of some other industries in the state.”
Nevertheless,
the nation’s weapons manufacturers are making record profits
in a quickly expanding militarization of the US economy. From
Sacramento, to Seattle, Atlanta to Albuquerque, the President’s
commitment to cut no costs on the nation’s massive military
budget, paired with the administration’s trillion dollar
tax cut, and plutocratic economic policy has created an economic
environment hostile to the poor, careless of the mainstream,
and ready to serve the most audacious wishes of the military
industrial complex.
As
the Department of Defense budget swells to a projected $399.1
billion in 2004, $420 billion in 2005, and $440 billion in 2006,
the present feasts of the Lockheeds and Halliburtons is sure
to look like slim pickings. (9). With procurement and R&D
accounting for 35% of the defense budget, American military
contractors are expecting a pool of $141.2 billion to compete
for. This is not to include construction, and operations &
maintenance, two sub-categories in the DoD budget that are becoming
increasingly privatized and opened up to would be profiteers.
If the contingent costs of occupying Iraq, and waging a continued
guerilla war in Afghanistan are added, any projected total jumps
by over $100 billion. All told, American military enterprises
are looking at a 2004 military with at least $250 billion allocated
for weapons purchases, service contracts, and, well of course
don’t forget those “agents for peace,” United
Defense’s Bradley Fighting Vehicles.
1. Chronicle Staff Report. “Bush Boosts Economic Plan
in Santa Clara Speech.” SF Chronicle. May 2, 2003.
2. US Department of Labor: Bureau of Labor and Statistics. “National
Employment, Hours, and Earnings.” www.bls.gov
3. US Department of Labor: Bureau of Labor and Statistics. “Labor
Force Statistics: Unemployment Rate.” www.bls.gov
4. Orman, Neil & Timothy Roberts. “Valley Likely Defense
Player.” Silicon Valley Business Journal. September 24,
2001.
5. United Defense. “Press Release: United Defense Reports
Strong Fourth Quarter and 2002 Results.” January 27, 2003.
6. Kady, Martin II & Mike Sunnucks. “Bandits Bank
on Bush.” Washington Business Journal. June 4, 2001.
7. Garrison, Chad. “Defense Companies Land $11 Billion
in Contracts.” St. Louis Business Journal. September 30,
2002.
8. Kemper, Kevin. “Military Spending Benefits Ohio.”
Columbus Business First. October 14, 2002.
9. Hellman, Christopher. “Fiscal Year 2004 Pentagon Budget
Request.” Center for Defense Information. February 3,
2003. www.cdi.org