60 Minutes: Defense Price Gouging

[kaskaskiakid]

This 60 Minutes segment about US defense contractors price gouging is mind blowing. The Pentagon spends half of the $870 billion defense spending on US defense contractors. The defense industry giants, such as Boeing and Lockheed, have gobbled up all the small companies that manufacture parts and support contractors, thus eliminating competition and allows the manufacturers of military equipment to charge exorbitant prices for repair and replacement parts. Example: An oil pressure switch that NASA used to buy for $350 now costs the Pentagon $10,000 for the exact same switch because there is only one maker of the switch - the manufacturer of the equipment.

I become furious when I think about how much waste there is in our soon to be $890 billion defense budget, and then our politicians talk about cuts in our social programs spending.

Weapons contractors hitting Department of Defense with inflated prices for planes, submarines, missiles

A six-month 60 Minutes investigation found the nation's defense budget is plagued by a military supply chain rife with price gouging.

www.cbsnews.com

 

[Veer2Eternity]

This 60 Minutes segment about US defense contractors price gouging is mind blowing. The Pentagon spends half of the $870 billion defense spending on US defense contractors. The defense industry giants, such as Boeing and Lockheed, have gobbled up all the small companies that manufacture parts and support contractors, thus eliminating competition and allows the manufacturers of military equipment to charge exorbitant prices for repair and replacement parts. Example: An oil pressure switch that NASA used to buy for $350 now costs the Pentagon $10,000 for the exact same switch because there is only one maker of the switch - the manufacturer of the equipment.

I become furious when I think about how much waste there is in our soon to be $890 billion defense budget, and then our politicians talk about cuts in our social programs spending.

Weapons contractors hitting Department of Defense with inflated prices for planes, submarines, missiles

A six-month 60 Minutes investigation found the nation's defense budget is plagued by a military supply chain rife with price gouging.

www.cbsnews.com

The Military Industrial Complex runs DC.
It's all a big money dump.

 

[3Rfan]

The Military Industrial Complex runs DC.
It's all a big money dump.

We've known about $700 toilet seats and $200 hammers for long time, it ain't just the hi tech parts they can't get from a different source.

 

[kaskaskiakid]

At one point in the Iraqi war, a defense contractor would not ship a vital part for Apache helicopters on the battlefield until the Pentagon agreed to a 40% price increase. Just think that an American company is willing to risk American soldiers lives for profit!! MG would be proud!!

 

[HomeyR]

At one point in the Iraqi war, a defense contractor would not ship a vital part for Apache helicopters on the battlefield until the Pentagon agreed to a 40% price increase. Just think that an American company is willing to risk American soldiers lives for profit!! MG would be proud!!

I'm not the least bit surprised...

 

[Expect2Win]

I think the biggest surprise is that the Pentagon was playing hardball on prices.

 

[3Rfan]

I think the biggest surprise is that the Pentagon was playing hardball on prices.

I wouldn't call that hardball, sounds like they just caved and paid the increase.