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Military

Credible Mobilization Crucial For The Defense Of The Nation
AUTHOR Major Rosemary L. McCammond, USMC
CSC 1990
SUBJECT AREA Professional Military Education (PME)
                  EXECUTIVE SUMMARY
    TITLE:  CREDIBLE MOBILIZATION CRUCIAL FOR THE
                DEFENSE OF THE NATION
I.  PURPOSE:  To examine our ability to mobilize the industrial
base and to assess obstacles impairing credible mobilization for
defense purposes.
II.  PROBLEM:  Although the concept of isolationism and reliance
on the oceans as adequate defense dissolved with technology
advances, increasing world interests, and a more unstable world,
experience from the World Wars has failed to teach us the
importance of maintaining adequate mobilization measures.
III.  DATA:  Dismantling of post WWII mobilization system began
1953 with emphasis on expanded forces and current production for
new flexible defence concept; less on mobilization.  Key studies
and reports by Congress and DOD Defense Science Board Reviews
started in the mid-1970s identified decline of our industrial
base.  At start of Cold War, DOD created a demand for high tech-
nology research.  Now supply has diminished along with demand due
to:  Less DOD dollars, ineffective education system, no incentive
in U.S. for technological research, and foreign competitors
having the supply and demand for technological research.
IV:  PROBLEM AREA:  DOD is concerned with declining industrial
base, technological lead, and economic stature affecting our
deterrent posture, much which is beyond the control of the
Department of Defense to correct.  The nation has known problems
meeting surge operations -- mobilization is much more extensive.
U.S. has to import strategic minerals to maintain our high
standard of living and to make military goods.  The Soviet Union
has or access to strategic materials for weapons -- and the
ability to deny our access.  Although stockpiling is insurance
for war when sea lines of communication are in jeopardy, we are
near half of the stockpile goals.  New Executive Order with DOD
as manager and other managerial improvements and renewed interest
help, but fiscal constraints will hurt.
V.  CONCLUSIONS:  We must have credible mobilization for
effective deterrence.  Our industrial base needs modernization,
bottlenecks eliminated, imported strategic materials on-hand and
close to industrial centers, and educated, trainable manpower.
We must have the National Will to regain the industrial base and
make other needed measures by educating the public to the real
threat verse illusions; increasing public sophistication in
worldly affairs and linking events to one's way of life.
VI.  RECOMMENDATIONS:  We must be a technological and industrial
leader to be a first rate world power.  Refocus of energies are
required for long term rewards vice short term gains.
Legislation and policies are needed to promote new long term
approach and self-sustainment in national emergency.
CREDIBLE MOBILIZATION CRUCIAL FOR THE DEFENSE OF THE NATION
                         Outline
I.   Historical perspective:
     A.    U.S.  didn't  want  large  standing  army  or involved
     preparations, defense relied on  helter-skelter mobilization
     for war.
     B.  Isolation with oceans as viable defense dissolved with:
           1. technology advances
           2. increasing world interests
           3. more unstable world
II.  Mobilization
     A.  Key Legislation
           1. Defense Act 1947 initiated legislation.
           2.  Defense Production  Act 1950  in response to Korea
           and greater Soviet Threat.
           3. Dismantling  of  system  began  1953  with expanded
           forces and current production, less on mobilization.
     B.    Key  Studies  and  Reports  identifies  problems  with
     industrial base.
           1. 1976 Civil Preparedness Review (House)
           2. 1976, 1980, 1988, DOD Defense Science Board
           3. Cheney reports concerns with  industrial base, that
           competitiveness is  at the  heart of  the problem, that
           defense industrial base is  dependent  on  the nation's
           industrial base for its strength.
III. Deterrence
     A.    Mobilization  required  for  deterrence  and  flexible
     response to work.
     B.  Scenarios for short war do not include mobilization.
IV.  Strategic Implications
     A.  Strategic warning necessary to begin process.
     B.  Successful Mobilization  Tempo formula  requires will of
     the people.
V.   Relationship between Defense Demand and Industrial Base
     A.  Three levels of Defense demand:
           1. Peacetime (current)
           2. Surge (small war)
           3. Mobilization (long war)
     B.  Types of Industrial Capacity:
           1. basic
           2. sub-tier
           3. end product
                a. dedicated defense base
                b. civilian production
     C. Problem  area:    Sub-tier excess  capacity could not meet
     surge operation.  Problem  emerged  with  increased civilian
     demand in the 1970's.
     D.  Civilian excess and convertible capacity for defense use
     is only ready source  available during  mobilization, and is
     not there.
VI.  Strategic Materials
     A.  U.S. required to import strategic materials to maintain
     high standard of living and to make military goods.
     B.  Soviet Union has waged a resource war with his access to
     materials for weapons and denial of our access.
     C.  Stockpiling good  insurance for  war when  sea lines of
     communication is in jeopardy.
     D.  Presidential policies  through the  years prevented our
     completion of stockpile goals, worsening the situation.
     E.  New Executive Order with DOD as manager vice Department
     of  the  Interior,  plus   renewed   interest,  but  fiscal
     constraints will hurt.
VII. Technology
     A.    At  start  of  Cold War, DOD created "demand" for high
     technology research.
     B.  Now "supply" has diminished along with "demand".
           1. Less DOD dollars
           2. Ineffective education system
           3. No incentive in U.S. for technological research
           4. Foreign competitors have "supply"  and "demand" for
           technological research.
     C.    Technology  in  weaponry  not  enough,  must  consider
     logistics tail, reliability and hardiness of weapon.
VIII.  Conclusions and Recommendations
     A.  Must first  address war  scenarios, then  plan for short
     war surge and concurrent long war mobilization.
     B.  Must be a technological and industrial leader to be
     a first rate world power.
           1. Refocus of energies required for long  term rewards
           vice short term gains.
           2. Legislation and policies needed to promote new long
           term approach.
           3.   Nation  must   be  self-sustaining   in  national
           emergency.
     C. Must have credible mobilization for effective deterrence.
           1.  Must modernize industrial base.
           2.  Must eliminate bottlenecks
           3.    Get  imported  raw  materials  on-hand,  close to
           industrial centers.
           4.  Get (grow) educated, trainable manpower.
     D.   Must  cultivate  the  National  Will  in  regaining the
     industrial base and other mobilization requirements by:
           1.  Educating the public to real threat verse illusions
           2.   Making public sophisticated in worldly affairs and
              its link to each individual's way of life.
      CREDIBLE MOBILIZATION CRUCIAL FOR THE DEFENSE
                      OF THE NATION
INTRODUCTION
          There are two basic military functions: waging war
     and preparing for war.   ....clearly,  we cannot afford
     to  separate  conduct  and  preparation.   They must be
     intimately related because failure in preparation leads
     to disaster on the battlefield.1
          The industrial  supremacy of  the United States is
     extremely important to the Department of  Defense.  Our
     National Security is based on a strategy of deterrence.
     We cannot match our adversaries soldier  for soldier or
     bullet for  bullet.  Instead, we must maintain a degree
     of technological superiority sufficient to overcome our
     numerical  disadvantage.    A  strong,  internationally
     competitive industrial base is  absolutely necessary if
     we want  to sustain  the effectiveness of our deterrent
     capability.  The greatest  destabilizer today  would be
     the disintegration  of the U.S. industrial and economic
     base.2
     Throughout most of her history, the  United States  had been
unwilling   to   maintain   a  large  military  establishment  in
peacetime.   Mobilization was  the method  of choice  to meet the
bulk of  wartime needs.  When war neared or broke out, the nation
hurriedly attempted to build up immense defense resources.   Then
production  mobilization  was  allowed  to  fall  to  its  former
     1  FMFM 1, Warfighting, p. 54.
     2  Deputy Secretary of Defense Donald J. Atwood, "Industrial
Base: Vital to Defense", Defense 90, p. 15.
peacetime level soon after the cessation of hostilities.3
     Before  World  War  II,  the  risk  of  being unprepared was
accepted because of our  geographical  isolation  and  the stable
world  order  (then  maintained  by  Great  Britain).   The world
situation provided time for us to gear up for mobilization.   Our
isolationist concept  of national  defense began to dissolve with
the emergence of  World  War  I.    First,  Great  Britain, whose
interests paralleled our own, declined as a world power.  Second,
Germany and Japan,  and  later  the  Soviet  Union  and Communist
China,    rose  as   powerful   adversaries.      Third,  radical
technological advances in military science altered  the defensive
value of  the oceans between the United States and these powerful
adversaries.    Fourth,  our  economic  maturity   created  vital
interests throughout  the world  with a  need for a wide range of
raw materials from foreign countries.  Prior to our entry  in the
ongoing World  Wars, we  had time  to build up massive outputs of
weapons and to mobilize powerful armed forces which,  in the end,
were  decisive.    The  concept  of the need to maintain a strong
industrial base emerged from our World War experiences.4
     3  Ralph Sanders &  Joseph  E.  Muckerman  II,  "A Strategic
Rationale  for  Mobilization",  ed.  Hardy  Merritt  &  Luther F.
Carter, Mobilization and the National Defense,  (National Defense
University Press, Washington, D.C., 1985), p.8.
     4  Neil  H.  Jacoby  and  J.  A.  Stockfisch,  The Scope and
Nature of the Defense Dector of the U. S. Economy,"  Planning and
Forecasting  in  the  Defense  Industries,as  quoted  in Harry B.
Yoshpe, Charles F. Franke,  Production  for  Defense, (Industrial
College of the Armed Forces, Washington, D.C. 1968), pp. 3 - 5.
The need  to maintain  a strong industrial base is even more true
today.
INDUSTRIAL MOBILIZATION: DEFINITION
     Industrial mobilization  is defined  by the  Joint Chiefs of
Staff (JCS)  Publication 1 as the transformation of industry from
its peacetime activity to  the  industrial  program  necessary to
support   national   military   objectives.     It  includes  the
mobilization of materials, labor, capital, production facilities,
and contributory  items and  services essential to the industrial
program.
INDUSTRIAL MOBILIZATION: KEY LEGISLATION
     The  National  Security  Act  (NSA)  of  1947  attempted  to
institutionalize Government-wide  mobilization planning using the
lessons  learned  in  the  previous  World  Wars.    The National
Security  Resources  Board  (NSRB)  was  the first of a series of
agencies  which  has  now  evolved  into  the  Federal  Emergency
Management Agency  (FEMA).   In 1950, just three months after the
beginning of the  Korean  conflict,  the  Defense  Production Act
(DPA) was  enacted into  law.   The climate of the times in which
this fundamental piece of industrial preparedness legislation was
put together  and approved is noteworthy.  World War II had ended
just five years  earlier  with  its  memory  and  lessons learned
sharply  focused  in  the  minds  of  the Congress, the executive
branch, industrial leaders, veterans, and informed citizens.  The
scope of  the DNA was in the context of the Soviet threat and was
much broader than the material needs of the Korean war.5    For a
variety of reasons, the U. S. Government gradually dismantled the
devised mobilization system beginning in 1953.  We  began to rely
more  on   deterrence  and  forces  in  being  and  less  on  the
mobilization process for force expansion and sustainment.6
INDUSTRIAL MOBILIZATION:  KEY STUDIES AND REPORTS
     During the mid-1970's, the first indications  of problems in
the  defense  portion  of  the  industrial  base began to come to
public attention.    In  1976,  the  House's  Joint  Committee on
Defense Production conducted an extensive study and published its
results in June, 1976  entitled "Civil  Preparedness Review, Part
1, Emergency Preparedness and Industrial Mobilization".  It found
no basis  for  suggesting  that  the  U.S.  was  not economically
prepared to mobilize, although it did find that there had been an
erosion of the defense  industrial base.   During  this same time
frame,  DOD  appointed  a  Defense  Science  Board  task force on
Industrial Readiness Plans and  Programs.   The board  found that
     5  Leon  N.  Katadbil  and  Roderick L. Vawter, "The Defense
Production Act:  Crucial Component of Mobilization Preparedness",
Mobilization and the National Defense, Ed. Hardy Merritt & Luther
F. Carter, (National Defense University Press,  Washington, D.C.,
1985), pp.37 - 38.
     6  U.S. Congress.  House.   Defense Industrial Base Panel of
the Committee on Armed  Services, "The  Ailing Defense Industrial
Base:    Unready  for  Crisis",  Report  to the 96th Congress, 2d
Session, 1980.
the  U.S.  could   better   achieve   effective   deterrence  and
warfighting   capability   by   requiring  adequate  war  reserve
materiel,  by  requiring  a  realistic  rapid   production  surge
capability,  and  by  creating  effective industrial mobilization
plans for the entire U.S. industrial base.7
     Donald J. Atwood, Deputy Secretary of  Defense, said  in his
remarks prepared for the National Forum Foundation on November 6,
1989, that the deterioration of America's industrial base  is one
of the  most pressing  issues facing  the nation today.  In 1980,
the Defense Science Board again published a study concluding that
the industrial and technology base was in trouble.8  In 1980, the
House Armed  Services  committee  issued  a  report,  "The Ailing
Defense  Industrial  Base:    Unready  for  Crisis", citing major
deficiencies  in   producing  items   needed  in   the  event  of
hostilities.9    In  1988,  the  Defense  Science Board published
another study concluding that our industrial  and technology base
had  further  deteriorated  since  its  last  report  and  that a
coordinated response by government and industry  is needed before
our credibility in deterrent capability is lost.10
     7  Leon N. Karadbil and Roderick L. Vawter, pp. 37 - 42.
     8   Donald  J.  Atwood,    "Industrial  Base,  Vital to U.S.
Defense", Defense 90, (DOD publication, Alexandria, Va) pp. 13-16.
     9  U.S. Congress, House, Defense  Industrial  Base  Panel of
the Committee  on Armed  Services, "The Ailing Defense Industrial
Base:  Unready for Crisis", 96th Congress, 2d Session, 1980.
     10  Donald J. Atwood, pp. 13-16.
     In his 1990 Annual Report to the President and the Congress,
January,  Secretary  of  Defense  Dick  Cheney  stated  that  the
Department of Defense is  concerned with  an alarming  erosion in
the U.S.  industrial base.  Three items were cited as reasons for
concern: (1) a decline in the total number  of defense suppliers;
(2) accelerating  penetration of  foreign goods into U.S. markets
and a growing dependency on foreign sources for  vital components
and subassemblies;  and (3)  decreasing returns  of fixed assets,
declining capital investments  and  lagging  productivity  in key
defense sectors.   America's competitive strength was cited to be
at the heart of the problem:
     This is a highly complex issue,  involving many factors
     beyond  the  reach  or  responsibility  of  any Defense
     Department policy  or  program.    Exchange  rates, tax
     policy,   the   cost   of   capital,   labor-management
     relations, and industry's willingness to plan for long-
     term  profitable  growth  instead of short-term profits
     all  affect   the   competitiveness   of  American-made
     products.    In  addition,  the trade policies of other
     countries can undermine domestic industries if they aim
     at  gaining  a  market  share  in  the United States by
     dumping goods at unreasonably low prices.
     The decline of  the  nation's  industrial  base  has serious
implications for  the defense of the nation.  A dedicated defense
industrial base relies on  the  strength  of  the  nation's basic
industrial base as its foundation.
STRATEGIC IMPLICATIONS
     The balance of military power contributes to a stable world.
Over the years, the  conditions  of  that  military  balance have
changed.    The  Soviets  have  achieved  nuclear  parity,  maybe
superiority.  They have also amassed a much stronger conventional
capability and  credibility than  at the  onset of  the cold war,
including power projection forces.   This  evolution has garnered
an  interest  in  our  mobilization  potential.  Mobilization has
relevance for both concepts of deterrence  and flexible response,
key elements  in current  U.S. military strategy.  The connection
between  mobilization  and  flexible  response  is   critical  in
avoiding  or  at  least  postponing  resort to nuclear warfare by
maintaining strong conventional capability.   To  contemplate war
from the  Soviet Union's  perspective, she faces two unattractive
prospects:  one, the  introduction of  nuclear weapons  by either
belligerent  might   cause  uncontrolled  escalation  to  general
nuclear war,  and two,  in the  case of  a long  war, the defense
industrial potential  of the  United States  might overwhelm her.
In  thinking  about  the  strategic  dimensions  of  war,  it  is
imperative  that  a  primary military consideration and objective
must be the protection  of the  mobilization base.   Prudence and
logic dictates  that a rational and controlled mobilization whose
intent, character,  and  limits  are  communicated  clearly  to a
potential  aggressor  presents  less  risk  than  being  woefully
unprepared to counter a military attack.11
     11  Ralph Sanders and Joseph  E. Mickerman  II, "A Strategic
Rationale  for  Mobilization",    Mobilization  and  the National
Defense, ed. Hardy  L.  Merritt  &  Luther  F.  Carter, (National
Defense University Press, Washington D.C. 1985), pp. 17 - 19.
     The provision  of likely  scenarios is  an important part of
our Defense process.  Secretary  Cheney  believes  that  the most
likely war scenario will be in the form of low intensity conflict
involving U.S. interests.
     In general, planning scenarios usually contain that point at
which mobilization is decided upon, and embodies a long series of
best  case  assumptions  about  the  whole   strategic  place  of
mobilization.    The  limited  war scenario, selected as the most
likely  to  occur,  does  not  reflect  the  deterrent  effect of
perceived  mobilization  capability.    One  must  be  careful in
relying on  scenarios for  planning and  consider elements beyond
simple face value.
STRATEGIC WARNING
     A  successful  mobilization  tempo  can  be reflected in the
formula below:
     political reaction time + mobilization gear-up time
     < unreinforced hold-out time 12
     National reaction to strategic warning should be rapid; that
such  recognition  of  national  peril,  however, seems doubtful.
Mobilization preparations must involve clear public understanding
and  participation.    Gear-up  time, the building up of military
     12  Ibid.
power through the use of non-military resources, are  rooted more
deeply  than  in  our  governmental  or  market-based  allocation
arrangements.  Some segments  of broader  American society appear
either to  have no usable skills in the best of circumstances, or
to be caught up in various forms of  pleasure seeking activities,
drug  abuse,  and  other  societal  aberrations,  or  else  to be
alienated  from   (or  simply   alienated  to)   U.S.  ideals  or
institutions.13
     These situations have serious implications, not only for our
national will and morale,  but in  our declining  industrial base
and mobilization of suitable manpower.
RELATIONSHIP BETWEEN DEFENSE DEMAND AND INDUSTRIAL BASE
     Defense demand can be divided into three levels:  Peacetime,
surge, and mobilization.   These levels  interact with  the three
types  or  levels  of  industrial capacity:  basic, sub-tier, and
end-product.  Peacetime buys are at the lowest  levels of demand.
Surge is a rapid expansion of peacetime production to some higher
level to meet the  circumstances of  an emergency.   Mobilization
requirements  are  radically  higher  than  any type of peacetime
demand.   Wartime  losses  must  be  replaced  while concurrently
meeting   the   materiel   requirements  of  force  roundout  and
expansion.  During WWII, the peak of defense demand came  in 1944
     13  Ibid.
at 45%  of the  Gross National  Product.  Basic industry includes
various foundation industries such as steel, copper, aluminum and
nickel alloys, chemicals, petroleum, and electric power which are
essential to civilian and military production.  Sub-tier consists
of   the   broad,   intermediate  structure  which  produces  the
components, parts, and sub-assemblies  that go  into civilian and
military end  products.  End productivity industry falls into two
general  categories,   dedicated   defense   base   and  civilian
production   base,   which   could   be  converted  into  defense
production.14
     It is  in the  sub-tier structure  that substantive problems
started appearing  several years  ago.   During periods of rising
civilian demand,  lengthened  lead  times  and  rising  costs for
defense  materiel  occurred  as  capacity  failed to react to the
peacetime demand.  This highlighted the  lack of  excess capacity
for surge  operations.   The migration  of industrial capacity to
other countries for economic reasons is another specific cause of
problems in  the sub-tier  structure.   Fasteners and electronics
production and  minerals  processing  capabilities  at  the basic
level have  undergone real  deterioration.   At both the sub-tier
and end-product levels, the  essential element  that limits surge
capacity is  the lack  of excess or under-utilized capacity which
can be readily turned on to provide rapidly  increased deliveries
of   defense   material.      Some    bottlenecks  already  exist,
     14  Ibid.
particularly in aerospace systems components such  as:  bearings,
castings, connectors,  forgings, and  integrated circuits.  These
bottlenecks increase lead time for when  a product  is ordered to
when it  is delivered.15   Improved manufacturing technologies at
the end-product level can  help shorten  manufacturing times from
previous manufacturing  techniques as  a way  to gain or "create"
excess capacity, but is only a part of the solution.
     The sub-tier and end-product  capacities that  are available
for  mobilization  come  from  at  least three sources:  existing
excess  capacity,  convertible  capacity   available  in  private
industry, and  new capacity created after the start of the war.16
Many  large   contractors  are   sustaining  considerable  excess
capacity, many in unhealthy financial positions with aging plants
and equipment.  This excess capacity is not at the sub-contractor
level.    Parts  bottlenecks  are  well predicted because of this
situation.17  Because there is not now and probably never will be
adequate  mobilization   capacity  due  to  the  high  levels  of
Government investment required, other  sources  of  capacity from
the civilian sector are of greater importance.  This leads to the
key point of whether the  existing  national  industrial  base is
adequate.   It is  in this  context that the documented trends of
     15  Ibid.
     16  Ibid.
     17  Jacques S. Gansler, The  Defense  Industry,  (MIT Press,
Cambridge, Mass, 1984), p. 5.
deteriorating domestic capacities must be evaluated.
STRATEGIC MATERIALS
     One typical  U.S. commuter  - oblivious to the international
proportions  of  the  lifestyle  he  enjoys  -  is  probably  not
uncommon:
          The  commuter  slipped  behind  the  wheel  of his
     Detroit-built sedan.  Switching  on an  ignition system
     built  with  Zambian  copper  and Ghanaian aluminum, he
     drew on power from a battery of Missouri lead and South
     African antimony to start an engine of Pittsburgh steel
     strengthened by South  African  manganese  and hardened
     with  chrome  from  Zimbabwe.    The car rolled on tire
     treads blended from  natural  rubber  from  an Algerian
     petrochemical base.  The exhaust from Nigerian gasoline
     was  cleansed  by  Russian  Platinum.     The  commuter
     switched on a radio with its invisible traces of cobalt
     from  Zaire  and  tantalum  from  Mozambique,  heard  a
     newscaster's report  of a Communist-led coup in a small
     country in Southern Africa.    What's  that  to  me, he
     thought,  switching  to  a  station carrying the latest
     sports results.18
     Many  of  the  critical  or  strategic   materials  have  no
substitute at any price.  Industrialized societies must have them
or write off a  good part  of the  technological advances  of the
last 75  years.  The "Big Four": chromium, cobalt, manganese, and
the platinum group are the most critical.   Without the  Big Four
we couldn't continue our way of life much less the defense of our
nation.  They are  needed  in  the  manufacture  of  jet engines,
automobiles, anti-pollution devices for air and water, computers,
medical and  surgical equipment,  restaurant sanitation, building
     18  James  E.  Sinclair  and  Robert  Parker,  The Strategic
Metals War, (Arlington House, New York, 1983), p. 1.
an oil refinery, or power plant.  Our nation is totally dependent
on importing the Big Four, the one exception being that which may
be recovered in recycling efforts.19
     In a report presented by the  Defense Industrial  Base Panel
released in 1980,  it noted that:
          Much of  the world's  production and reserves of a
     number of our critical  materials  are  located  in two
     areas  of  the  world:    Siberia  and Southern Africa.
     These two nations contain  99  percent  of  the world's
     manganese ore,  97 percent  of the world's vanadium, 96
     percent  of  the  world's  chrome,  87  percent  of the
     world's   diamonds,   60   percent   of   the   world's
     vermiculite, and 50 percent  of the  world's fluorspar,
     iron ore,  asbestos, and uranium.  Zaire and Zambia now
     provide 65 percent of the world's cobalt.
     Alexander  Haig,  before  his  appointment  as  Secretary of
State, told  the U. S. Congress, House, Subcommittee on Mines and
Mining, on September, 1980:
     As one assesses the  recent  step  up  of  Soviet proxy
     activity  in  the  Third  World -- in Angola, Ethiopia,
     Southern Yemen, Northern Yemen, Southeast Asia, Central
     America  and  the  Caribbean,  and the ...unprecedented
     invasion  of  Afghanistan  by  regular  Soviet forces--
     then  one  can  only  conclude  that  the  era  of  the
     "resource war" has arrived.
     Although no developed nation can be  totally self-sufficient
in minerals, excessive foreign dependency can deprive the U.S. of
freedom of action in other areas  such as:   political, economic,
and defense.   Total  self-sufficiency is an unattainable goal in
the foreseeable future.20
     19  Ibid., p. 5.
     20  Ibid.
     Figured 1-3  illustrate the percentage and sources of import
reliance on approximately  36  minerals  for  the  United States,
Economic European Community, Japan, and the Soviet Union.
Figure  4  represents  the  strategic  materials required for the
Pratt & Whitney F100 turbofan jet engine.21
Click here to view image
     21 Figures 1 - 4:  U  S. Bureau of Mines, 1977.
     The  federal  government's  most  decisive  action  to avert
wartime shortages was  its  creation  of  a  strategic stockpile,
beginning in  1949.   Ninety three substances in 62  families  of
materials were designated as strategic.  Each substance was to be
purchased  and  stored  in  sufficient  quantities  to  meet  our
country's defense for a  three year  period.   Because successive
administrations  and  Congresses  failed to provide the necessary
funds,  in 1981 the stockpile  was  at  about  50%  of  its goals.
Rising prices  in the  minerals market  has made our $3.5 billion
expenditure grown in market  value to  $12.56 Billion  in 1981.22
With  every  succeeding  administration, new ideas about national
policy and priorities change.  During the Kennedy administration,
stockpile goals  were reduced  and some of the metals accumulated
since the close of World War II were sold.   Among them  were: 60
million pounds  of cobalt,  all of  the aluminum, all the nickel,
all of the copper, most  of  the  zinc,  and  half  of  the lead.
During  the  Reagan  Administration,  a  new  review of stockpile
policy was  accomplished.   The report  from FEMA  in March, 1981
estimated the  stockpile to $4.2 billion excess in some materials
and  $20.14  shortage.     President  Reagan   ordered  stockpile
administrators to  give priority  to 13 metals, including cobalt,
columbium, aluminum oxide, nickel, platinum group,  tantalum, and
vanadium.  All stockpile    purchases must be approved through the
legislative process.23
     By an 1988 Executive Order,  the  Secretary  of  Defense was
designated  as  the  National  Defense  Stockpile  (NDS) Manager,
formally a responsibility of the Secretary of the Interior.    In
addition  to  the  new  assignment  of NDS manager, the Executive
Order directs proceeds  from  sales  of  excess  materials  to be
placed in  a fund  specifically for the purchase of new materials
or processing inventories of  existing materials  to a  form more
suitable for  storage or use.  (Formerly, the proceeds from sales
     22  James E. Sinclar and Robert Parker, pp. 8-9.
     23  Ibid., pp. 96-97.
would go back into the treasury.)    Also,  major  steps  are now
underway   to   synchronize   stockpile  planning  with  military
strategies.  Estimates of military requirements for strategic and
critical   materials   are   now   being  derived  directly  from
warfighting plans.  DOD has  launched  efforts  to  modernize the
stockpile.   The efforts  include: upgrading  quality and form of
existing inventories to  support  the  accelerated  production of
military hardware  and materiel  during a national emergency; the
identification and acquisition of  new advanced  materials needed
to  support   emergency  defense  production;  the  upgrading  of
specifications for NDS materials  to modern  industrial standards
and  use;   and  the  modernization  of  methods  for  acquiring/
upgrading/ disposing  of  NDS  materials  to  conform  to present
commercial practices.
TECHNOLOGY
           In the  1950's, the beginning of the Cold War, the U.S.
government  created  the   market  for  high-technology production
through defense spending.  Nuclear strategy engendered a "demand"
for high-tech research; products and processes of high technology
were  highly  secret  and  the spin-off for consumer products was
often limited.24   In  a  climate  of  today's  predicted drastic
defense budget cuts, the thought that DOD can drive technological
research is much less likely.
     24   Simon  Ramo,  "National  Security  and  our  Technology
Edge", Harvard Business Review, (Nov/Dec, 1989), p. 175.
     Technological advance in weaponry will continue to be needed
into the foreseeable future,  and  U.S.  government  policies and
actions (and,  in some cases, sponsorship) will continue to exert
powerful influence on the business opportunities  of well-managed
technological companies.   We  need to  cultivate the "supply" of
technology - engineers who  can  contribute  to  making companies
competitive.  The conviction that technology, or more accurately,
the atmosphere that produces creative application  of technology,
is critical  for economic  growth, national  security, and social
stability.  The totality of advances  produced everywhere  in the
globe influences  the technology  originating in any one place.25
To be a world  leader, we  must regain  and keep  our place  as a
world leader in technology.
     Technology  itself  does  not  automatically confer military
advantages.   Blind faith  in technology  uncoupled with strategic
analysis and  deliberate participation in a technological war can
lead to disaster.   Like  all  wars,  technological  war requires
deliberate strategy,  and it  must be conducted by commanders who
understand fully the  objectives  they  have  been  instructed to
reach.26   Application of new technology in military equipment is
only useful if it increases combat  effectiveness.   Any piece of
equipment  requires  support:    operator  training, maintenance,
     25  Ibid.
     26  Stefan Thomas Possony & J. E. Pournelle, The Strategy of
Technology,  Winning  the  Decisive  War,  (University  Press  of
Cambridge, Mass, 1970), p. 5.
power  sources  or  fuel,  and  transport.    The  enhancement of
existing capabilities must justify these support requirements and
employment of the equipment  must  take  these  requirements into
account.27
     What  can  the  government  do now that military spending is
ceasing to  be the  paramount driver  of breakthrough technology?
We  have   never  used  tax  incentives  deliberately  to  foster
technological superiority,  and we  should now.   Our immigration
policies  should  be  changed  to  make it easy for technological
brainpower from foreign countries to become Americans.   The more
we become and are seen to be an entrepreneurial, free-enterprise,
low-tax land, the more we will attract the  cream of  the world's
technologists.28
EDUCATION
     "The education  system has failed the nation."  concludes  a
September 1988 report  of  the  Air  Force  Association Aerospace
Foundation  entitled  "America's  Next  Crisis:  The Shortfall in
Technical Manpower".  It further concludes that the U.S....
     "...has not produced enough  well-educated, technically
     qualified graduates  who can  enter the  work force and
     become productive members of society.  This is  true at
     every  tier  from  entry  level  technician to research
     scientist.  And the future doesn't look any better."
     27 FMFM 1, Warfighting, pp. 52-3.
     28  Simon Ramo, p. 175.
   The National Science Foundation predicts that the U.S. will be
short  more  than  700  scientists and engineers between 1989 and
2010, and that the number of  engineer graduates  will decline by
forty percent while demand will increase by seventy percent.
     What is  the real  answer to  our industrial competitiveness
problem?   Many sources point to education in all its phases as a
long term  solution.  Numerous articles in daily newspapers, U.S.
News and World  Report  and  other  magazines,  and  lessor known
studies  by  educators,  CEOs,  and  community  leaders  call for
massive educational reform.   Simon Ramo, frequent contributor to
the Harvard  Business Review, best sums up the education solution
by emphatically stating that "every sector  of society  must call
for change.  We must declare education's singular leverage in the
coming, more technological world,  and  make  funds  available to
pursue innovative approaches to it."29
CONCLUSIONS
     U.  S.  national  security  objectives provide the essential
elements upon which our defense  strategy  and  policy  should be
structured.   The basic  and most fundamental objective being the
preservation of the United States as a free nation.   To continue
to successfully  employ a deterrent strategy, we must reverse the
decline of  our industrial  base.   The crucial  question is what
level  of  conflict  must  we  be  prepared for?  To successfully
     29  Ibid., p. 115.
survive the future, we must determine  the level  of conflict and
then have a plan of action.
     First, we  have to  consider possible  war scenarios.  These
scenarios  range  from  a  low  level  conflict  to  a  long term
conventional war  possibly with  some tactical nuclear weapon use
to finally and all out nuclear  war.   At the  minimum, we should
have an  industrial capability to surge production adequately for
a low level conflict  while  and  taking  necessary  steps  to be
prepared  for  a  general  war,  i.e.  a long conventional war in
Europe.
     Second, to be a first rate  world power  we must  be a first
rate  technological   and  industrial   power,  capable  of  self
sustainment in  a national  emergency.   To attain  this goal, we
must stop  thinking in  terms of short term gains and refocus our
energies into long term  strategies having  greater rewards.   We
must provide incentive for forward-thinking approaches and create
an environment where technological thinking can flourish.
     Third,  we  must  insure  credible  mobilization capability.
This capability  is an inestimatable deterrent to aggression.  To
do this, we must modernize our  general national  industrial base
and  correct   the  deficiencies   which  account  for  predicted
bottlenecks.  We must ensure sufficient supplies of raw materials
close  to  industrial  centers.    And  we must have an educated,
trainable population to supply  the  needed  manpower  to achieve
these goals.
     Finally and  most importantly, we must educate the public to
the continuing  Soviet  military  threat  despite  the comforting
appearances presented  by glasnost.  The public must be made more
aware of the linkage between international events and  our way of
life, i.e.  how the  formation of OPEC resulted in the subsequent
hikes in oil prices and a  reduction in  the available  supply of
fuel.    Technology  in  today's  world has outdated isolationist
concepts of defense.  This education effort is necessary in order
to ensure  that the  National Will  is available  to dedicate the
resources necessary for military and industrial preparedness.
                        BIBLIOGRAPHY
Donald J.  Atwood, Deputy Secretary of Defense, "Industrial Base:
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