The discussion of the total meaning of defense spending, involving military, political, and economic considerations is best presented in HitchCharles J.McKean'sRoland N.The Economics of Defense in the Nuclear Age (Cambridge: Harvard University Press, 1961); and The Weapons Acquisition Process (Boston: Harvard University Press, 1962).
2.
Military procurement here refers to procurement actions resulting in contract awards to industrial and business concerns for supplying of major hard goods, services, and other items, including subsistence, textiles, clothing and equipment, fuel and lubricants, miscellaneous hard goods, construction, and all actions less than $10,000. Net value of military awards is periodically reported by the Office of Secretary of Defense, in Military Prime Contract Awards and Subcontract Payments; see July, 1961–June, 1962 issue, pp. 20–25.
3.
MurphyCharles J. V., “The Plane Makers under Stress,”Fortune, June, 1960, pp. 134–137 and July, 1960, pp. 111–113. For impact upon electronics industry, see SilbermanCharles E., “The Coming Shakeout in Electronics,”Ibid., Aug., 1960, pp. 126–130.
4.
Procurement awards of NASA and military space programs are not reported as completely as that of the Department of Defense (DOD). Although the total FY 1962 budget of NASA and DOD for space was close to $5.0 billion, $3.9 billion and $1.3 billion, respectively, the actual amount of funds available to industry is estimated at about 82.8 billion, leaving a substantial amount for salary, operations, construction for NASA, and military laboratories.
5.
See Office of the Secretary of Defense, Military Prime Contract Awards, by State, a periodic publication.
6.
See Office of the Secretary of Defense, Military Prime Contract Awards and Subcontracts Reports, July 1961–June 1962, p. 45.
7.
Office of the Secretary of Defense, Military Prime Contract Awards Placed in Areas of Substantial Unemployment, Fiscal Year 1962.
8.
Various papers have been published on the subject. Substantial discussion of planning in defense industry was made by MooreJ. R., “Some Factors Affecting Long Range Planning in the Defense Equipment Industry,” an address before the Armed Forces Committees and Electronic Association, June 9, 1958; and BowmanDean O., “Practices and Problems in Long-Range Planning,” a paper presented at the Second Annual Conference on Marketing in the Defense Industries, Boston College, May 23, 1963. Also see StockfishJ. A., ed., Planning and Forecasting in the Defense Industries (Belmont, California: Wadsworth Publishing Co., 1962).
9.
See BiererBion B.Jr., “Marketing R & D for Military Products,”Harvard Business Review, Sept.–Oct., 1962, pp. 111–120.