In a new article posted by the Council on Foreign Relations, BWC Vice Chair Rebecca Patterson discusses the impact of increased global and domestic spending. Global defense spending has increased significantly over the past eleven years, causing global spending to surpass 2.5% of gross domestic product in 2025. However, many leaders have not shown interest in cutting spending on voter-friendly domestic programs. This has caused global government debt to reach nearly 100% of GDP. She explains how continued rearmament without budget changes to increase revenues or cut spending elsewhere will likely lead to a global economic crisis. It is crucial that leaders find a balance between global defense and domestic program spending as soon as possible. 

To read the full article, click here.

All views expressed by members are their own and not reflective of the views of the Bretton Woods Committee.