The Nation : $23-Billion Arms ‘Bonus’

The Pentagon received $23 billion more than Congress intended during the last three years because the Defense Department overestimated the inflation rate, according to a study. The report by the Congressional Budget Office led to a renewed call by Rep. Les Aspin (D-Wis.), chairman of the House Armed Services Committee, for overhauling the process for figuring inflation. When it approves the budget each fiscal year, Congress factors in the expected inflation rate and in the case of the Pentagon budgets, the Defense Department’s own projections have usually been accepted. Aspin said he is still waiting for the Administration to propose a way to overhaul the inflation projection system to try to come up with more accurate forecasts.