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tammywammy

(26,582 posts)
7. I agree with cuts
Mon Jan 21, 2013, 10:18 PM
Jan 2013

But I highly disagree with sequestration. Cuts shouldn't be done with a hatchet, which is what sequestration is. I believe that's the lazy way out by saying 'cut everything 10%', not to mention the contractual obligations and resulting penalties that will only be passed onto the government. I don't think this current strategy of sequestration will actually save any money in the long run. But going through and identifying cuts program by program, whether it's 10% or 30% or whatever is the smart approach. Also the move to fixed price vs cost-plus is smart. Scalpel vs hatchet. I also see defense contractors already recognizing the change in US defense acquisition and changing their own focus to incorporate fixed price to doing more foreign military sales, so that they're not so reliant on the US being their number one source of revenue. Also I will say I've seen significant down sizing in the defense contractor world from top down removing excess management layers, which in turn make them a leaner and more cost efficient company.

I think Hagel will be a good replacement for Panetta.

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