Has anyone here seen the movie Captain Philips? It got me thinking about something that I had never thought before:
America's massive, dominant and global navy does a lot to reduce piracy and therefore encourage global trade, which is good.
Lets say piracy incidents were a common and frequent occurrence, big transporting companies would avoid waters rampant by pirates and this would have a negative effect on the worlds economy.
The question that I thought about after seeing the movie is "Does America's overseas defence spending have a net benefit on the economy; aka is it worth it?"
You could probably cut ~$170 billion (too lazy to find exact numbers, so this is an estimate) if America stopped all non-Afghanistan overseas operations.
International trade is a $20+ trillion industry, and accounts for $2.2 trillion of America's GDP.
Now obviously if America's navy just disappeared most of that would remain, but the question is, would cuts to America's navy lead to a larger or smaller nominal cut to global trade?
This isn't the only factor, but I've recently gone, partially thanks to a movie, from being anti-DoD spending, to being favour of most overseas operations (even the ones not related to piracy. Its just one of the things I thought about).