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U.S. Defense Cost Near Soviets’

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United Press International

For the first time since 1971, the United States spent almost as much on defense as the Soviets did last year, newly declassified CIA testimony to Congress showed today.

Testimony by the CIA and the Defense Intelligence Agency also claimed that any Soviet response to a U.S. “Star Wars” plan probably would put pressure on other aspects of Soviet defense.

The U.S. analysis of Soviet defense and economic activities said that the cumulative cost of all Soviet defense activities since 1965 has been about 10% higher than U.S. defense spending and that the cumulative dollar value of Soviet activities between 1975 and 1985 outpaced U.S. spending by 25%.

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But the report showed that President Reagan’s military buildup brought defense spending nearly up to the Soviet level last year.

“In 1985, for the first time since 1971, the dollar costs of Soviet activities did not substantially exceed U.S. outlays,” the report said.

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