Cut defense and save money? Don't forget about the hidden costs...

via Dallas Morning News.

“The JSF is almost everybody’s low-hanging fruit,” said Winslow Wheeler, a frequent critic of the program. “When the expense sinks in, the numbers will be pared back dramatically. A major resizing is inevitable.”Lockheed said it still expects to sell about 3,000 of the fighters, also known as the F-35, over the next 25 years, including 2,443 to the U.S.Wheeler, who’s worked on Capitol Hill for three decades, said he would be astonished if deliveries top 1,000.

Wheeler is a famous critic of the program so his comments aren't at all surprising.  Quite honestly neither is the news story.

What should grab everyone's attention is found in two other places.  First in the comments section of the above news story.

Paul Gose · Alexandria, MinnesotaI have worked for Lockheed Martin since 6/6/2011. My first position was at the Marietta, Ga plant. We moved there from Minnesota when they offered relocation pay in exchange that I signed a 12 month no-quit contract. During orientation we were promised work until 2017. I was laid-off on 4/13/2012. Forced to break our apartment lease we moved to California with family. I was then offered a position here in Ft Worth on the F-35 program. I signed another 12 month contract to be relocated again and started on 8/13/2012. I was told today to expect a two week notice by Monday. Looking at a 2nd lay off in less then a year after signing two twelve month contracts. Lockheed does not honor corporate seniority, the IAM union knows these layoffs are happening so they have been forcibly taking extra "dues" 

And then this from the Pittsburgh Business Times...

 The fighter jet is the most expensive military airplane in history at a cost of more than $400 billion. It's built by Lockheed Martin (NYSE: LMT) and a host of subcontractors, including a number in the Pittsburgh region including II-VI Inc.(Nasdaq: IIVI) and RTI International Metals (NYSE: RTI).But that cost also is a major liability in this era of defense cuts, according to The Dallas Morning News. The Joint Strike Fighter will see almost "inevitable" cutbacks in the production program that is supposed to be at least 3,000 in the next quarter century, the Dallas Morning News said.

That short article doesn't spell things out quite clearly enough so let me.

Defense cuts will affect your neighbor and your neighbor's neighbor.

The knock on effect of cutting the Department of Defense will result in many businesses going out of business here in the US and abroad.  And its not just the F-35 program thats in jeopardy.  Armored Combat Vehicle makers, Ship builders, electronics firms...all those type company's and more will fall victim to cuts.  But more importantly other smaller firms will die as a result.  From the mom and pop running the roach coach, to the small business supplying janitorial supplies this will be a terrible few years.

Oh and I didn't even touch on the fact that China is rapidly upgrading its military while we go on another procurement holiday.