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Discretionary Spending as a Percentage of Gross Domestic Product 1962 – 2007

Discretionary Spending as a Percentage of Gross Domestic Product 1962 - 2007

In this chart the blue line, Total Discretionary Spending, is the sum of the red line, Defense Spending plus the green line, Non-Defense Spending. For example, in 2007 Defense Spending was 3.9% of GDP while Non-Defense Spending was 3.6%. Therefore, Total Discretionary Spending was 7.5% of GDP as shown in the chart.

Non-Defense Spending has remained remarkably stable at an average of 3.9% of GDP—fluctuating in a very narrow band between 3.3% and 5.2% during the previous 46 years. As a result of the relatively flat line for Non-Defense spending, it easy to see that Defense Spending has been the victim of the “crowding out” effect of the increase in Mandatory Spending.

2 Responses to “Discretionary Spending as a Percentage of Gross Domestic Product 1962 – 2007”

  1. 1
    bryan_05 Says:

    Does the “Defense” Spending include the “one-time” Iraq war spending bills? Or is this solely based on the Budget passed by Congress?

    In my research the one-time bills are usually not included in the Pentagon’s budget.

  2. 2
    Delta-T Says:

    Let’s see if we can’t “crowd out” some more of the “defense” spending we use attacking countries.

    Maybe we can re-enter the world community as better world citizens.

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