Section 9

Military Services and Veterans Affairs

This section presents statistics relating to national defense, several measures of its human and financial costs, and indicators of military personnel, ships, aircraft, and Selective Service operations. Also included are statistics on the various programs and benefits sponsored by the Federal Government for veterans. The principal sources of these data are the Department of Defense, Office of the Secretary of Defense; annual reports of the separate Departments of the Army, Navy, and Air Force; the Selective Service System; the Annual Report of the Administrator of Veterans Affairs, Veterans Administration; and the Budget of the United States Government issued by the Bureau of the Budget.

Department of Defense.—Until 1947 the Army, Navy, and Air Force operated under independent jurisdiction answering only to the Commander-in-Chief, the President of the United States. In 1947, as a result of the passage of the National Security Act, a new executive department was established, the National Military Establishment. This department was organized to provide for the coordination and unified direction of the Army, Navy, and Air Force under a civilian Secretary of Defense. The Army, Navy, and Air Force, however, were not merged. Each remained separately administered and retained its individual Department status. Amendments to the National Security Act in 1949 added new powers to the Secretary of Defense and redesignated the National Military Establishment as the Department of Defense.

Selective Service.—The Selective Service System is responsible for the registration, classification, selection, forwarding for examination by the Armed Forces, and delivery for induction into the Armed Forces of all men required to register under the Universal Military and Training Act, as amended. The act requires the registration of all men who are in the United States between the ages of 18 and 26, and makes those between 1814 and 26 years old (except aliens with less than one year of residence) liable for service in the Armed Forces. Deferred persons remain liable for service until they attain 35 years of age. The act also provides exemptions or deferments from service for many persons for reasons of previous service, essential occupation, etc. Selective Service is also authorized to determine the availability of members of the Standby Reserve of the Armed Forces for order to active duty in time of war or national emergency.

Veterans Administration.—The Veterans Administration administers laws authorizing benefits for eligible former and present members of the Armed Forces and for the dependents and other beneficiaries of deceased former members of such forces. Veterans benefits available under various acts of Congress include: Compensation for service-connected disability or death; pension for nonservice-connected disability or death; vocational rehabilitation for service-connected disability; education and training; guaranty or insurance of home, farm, and business loans; unemployment compensation; U. S. Government and National Service Life Insurance; servicemen's indemnity in lieu of insurance; hospitalization; domiciliary care; outpatient medical and dental care for service-connected disability; prosthetic and other appliances; special housing for certain seriously disabled veterans; automobiles or other conveyances for certain disabled veterans; burial allowances; and educational assistance to war orphans.

Alaska and Hawaii.- For a general statement concerning the treatment of data for Alaska and Hawaii, see preface. "Conterminous area” refers to the United States excluding Alaska, Hawaii, and outlying areas.

Historical statistics.—Tabular headnotes (as "See also Historical Statistics, Colonial Times to 1957, series Y 337–358"') provide cross-references, where applicable, to Historical Statistics of the United States, Colonial Times to 1957. See preface.

FIG. XVI. FEDERAL GOVERNMENT EXPENDITURES FOR MAJOR NATIONAL SECURITY FUNCTIONS AND VETERANS SERVICES AND BENEFITS, IN RELATION TO TOTAL FEDERAL BUDGET EXPENDITURES: 1940 To 1961

Source: Chart prepared by Department of Commerce, Bureau of the Census. Data are from Bureau of the Budget.

No. 304. FEDERAL GOVERNMENT EXPENDITURES FOR MAJOR NATIONAL SECURITY

FUNCTIONS AND VETERANS SERVICES AND BENEFITS, IN RELATION TO TOTAL

FEDERAL BUDGET EXPENDITURES: 1930 to 1961 [In millions of dollars. For years ending June 30. Includes expenditures of agencies other than the Department

of Defense and Veterans Administration, for activities primarily related to major pational security and reterans programs. Excludes expenditures for programs which, though closely related to major national security or veterans services, have a primary relationship to other categories of the functional classification (see table 475). Functional classification revisions for major national security have been carried back through 1939. For further detail as to classification of particular items in 1959, 1960, and 1961, see Special Analysis C of the Budget of the United States, 1961, pp. 907–913. See also Historical Statistics, Colonial Times to 1957, series Y 357-358 and Ý 360]

Source: Executive Office of the President, Bureau of the Budget; Budget of the United States Government, 1961. (1952-1961, Special Analysis G.) No. 305. FEDERAL GOVERNMENT EXPENDITURES FOR MAJOR NATIONAL SECURITY

FUNCTIONS: 1959 TO 1961
[In millions of dollars. For years ending June 30]

Source: Executive Office of the President, Bureau of the Budget; Budget of the United States Government.

No. 306.

DEPARTMENT OF DEFENSE OBLIGATIONS AND EXPENDITURES: 1958

AND 1959
[ln millions of dollars. For years ending June 30)

1958 Available for obligation..

51, 884 51, 118 Obligation for year.

43, 898 43, 212 Unobligated balance.

7,986 7, 905 Available for expenditure.

72, 104 71, 147 Expended during year.

39, 779 39,062 Unexpended balance.

32, 325 32,085 1959 Available for obligation.

53, 144 52, 234 Obligation for year..

45, 548 44,721 Unobligated balance..

7. 596 7.513 Available for expenditure.

73, 934 72, 868 Expended during year.

42. 013 41, 233 Unexpended balance...

31, 921 31, 635 Source: Department of Defense, Office of the Secretary.

No. 307. NET VALUE OF MILITARY PROCUREMENT ACTIONS, BY CATEGORY AND

DEPARTMENT: 1952 to 1959 (In millions of dollars. For years ending June 30. Includes all new prime contracts regardless of amount of

contract; debit or credit changes in contracts are included only if they involve $10,000 or more. Procurement actions cover official awards, amendments, or other changes in prime contracts of military departments and agencies of Department of Defense to obtain military supplies, services, or construction. Excludes term contracts and contracts which do not obligate a firm total dollar amount or fixed quantity; however, includes job orders, task orders, and delivery orders against such contracts)

7,066

Total..

43, 569 31,812 13,279 16,582 19,590 21, 458 24, 197 25, 312 Army

20, 101 9. 408 Navy.

3, 110 5, 238 4. 696 5, 456 5, 993 6,009

10, 923 7, 907 4, 349 4, 650 Air Force..

6, 240 6, 589 6, 991 7, 671 12, 545 14, 497 5, 820

6,685 8,654 9, 413 11, 213 11, 632 With business firms for work in U.S.. 41, 482 27,822 11, 448 14,930 | 17,750 19, 133 | 21, 827 Department:

22, 744 Army.

18, 704 7,077 1, 946 4, 302 3, 831 Navy.

4, 446 4, 852 4, 957 10, 600

7, 283 4.062 4, 280 Air Force

5, 642 5, 894 6, 271 6.941

12, 178 13, 462 5, 440 6, 318 Type of contract:

8, 277

8, 793 10, 704 10, 846 Advertised.

4, 479 3 089 1, 789 2, 386 2, 815 3, 321 3, 115 Negotiated.

3, 089 37, 003 24, 733 9, 659 12, 514 14, 935 15, 812 18,712 19, 655 With small business firms 2. Department:

4, 608
2, 902 3, 214 3, 475 3, 783 3,729

3, 783 Army.

3. 960 2, 584 1, 488 1, 834

1. 675

1, 827 Navy

1, 801

1, 740 2, 409 1, 415

856 804 Air Force

1, 114 1, 231 1, 172

1, 123 697 609 558 576 686 725 756 Type of contract:

920 Advertised.

2. 545
2, 035 1, 150

1, 501
Negotiated..

1,750 1, 973 1,794 1, 466

4, 521 2, 573 1, 752 1, 713 1, 725 1, 810 1, 935 2, 317 For work outside U.S.3.

1,319 3, 418 1, 411 Army.

1, 111 1, 406 1, 602 1, 444 1, 410 1,025 2, 016

920 697 Navy.

699 729 740

663 59 481 206

215

551 Air Force..

491 235 921 285 199 205 322 174 256 Intragovernmental \_

768 572 420 541 434 462 531 Army

758 372 315 244 239 166 178 203 Navy

248 264 143 81 164

79 100 Air Force...

141 132 114

95 138 172 205 228 369 Educational and nonprofit institutions

261 395 399 Army.

103 198 Navy

140

65 Air Force.

90

98 93 107

161 1 Beginning 1954, includes Alaska, Hawaii, Puerto Rico, and outlying areas.

Covers firms not dominant in their fields of operation and employing fewer than 500 persons, and those with 500 or more employees which have been certified by the Small Business Administration as small business firms.

3 For 1953, covers awards by offices located outside U.S. (conterminous area) for work to be performed outside U.S.; beginning 1954, covers all awards for work to be performed in foreign countries.

* Covers purchases made from government agencies other than Department of Defense, and interservice pur. choses placed by one military service, bureau, or command against contracts executed by other military technical services, bureaus, or commands. s Prior to 1957, included with business firms.

Source: Department of Defense, Office of the Secretary: Military Prime Contract Awards to Small Business and Other Contractors, July 1957-June 1958, and unpublished data.

502

530

96

241

No. 308. DEFENSE EXPENDITURES AND OBLIGATIONS, EMPLOYMENT IN SELECTED
INDUSTRIES, AND NEW ORDERS AND SALES OF DURABLE GOODS INDUSTRIES: 1954
TO 1959

[In millions of dollars, except employment in thousands. For years ending June 30]

DEFENSE EXPENDITURES AND PROPERTY

ITEM

Department of Defense average monthly ex-
penditures: 1

Aircraft and guided missiles.

Ships and harbor craft..

Electronics and communications..

Combat vehicles, artillery, weapons, and

ammunition.....

Average monthly employment:2

Aircraft and parts.

Ship and boat building and repairing.
Communications equipment...
Ordnance...

Department of Defense obligations for hard
goods

New orders received, durable goods industries...
Department of Defense net expenditures for
hard goods 3_

Sales, durable goods industries...

Army.

1954

5,604 116, 099

Department of Defense...

Real property inventory..
Construction in progress, cost of work in place.
Personal property inventory..

18,232 140, 400

737 90.8

68.8

287.8

782.3

143.8

518.0

206. 7

MILITARY DEPARTMENT AND TYPE OF PROPERTY

Real property inventory...

Construction in progress, cost of work in place..
Personal property inventory...

1955

Navy (including Marine Corps)

Real property inventory..

Construction in progress, cost of work in place..
Personal property inventory..

Air Force....

Real property inventory....
Construction in progress, cost of work in place.
Personal property inventory..

730

84. 1

53.0

111. 2

742. 1

122.8

494.4

145.7

11,036

143, 031

14, 182 142, 835

Total

150, 660

3 29,689

4 3, 255 $117, 716

1956

38,847

3 9,372 4 517 $ 28,958

693

74.6

64.2

107.6

761.8

124. 5

540.0

133.0

1 Excludes military assistance program and not completely comparable with employment categories.
Not completely comparable with Defense expenditure categories.

56, 679
9,022
893

46, 764

14, 113 173,838

55, 134

11, 295
1,845
41,994

13, 201 163, 092

Excludes military assistance program. Includes (a) major items of equipment such as aircraft, missiles, ships, tanks, vehicles, ammunition, weapons, artillery, electronics, and communications, etc., (b) maintenance spares and spare parts for such equipment, and (c) organizational equipment and supplies. It excludes subsistence, petroleum products, and clothing.

Source: Department of Defense, Office of the Secretary.

No. 309. DEPARTMENT OF DEFENSE-REAL AND PERSONAL PROPERTY: 1959 [In millions of dollars. As of June 30]

United
States!

113,014

3 22, 570
42, 186
$88, 258

1957

30, 598 38,096

4 278 $22, 224

839 74.8

73.4

63. 4

863.9

140.0

570.6

133. 2

37, 251
7,167

463

29, 621

15, 138

169, 681

45, 165

7,307

1,445 36, 413

14,573 169, 851

Outlying
arcas 2

5,292 3 3, 322 208 $1,762 862 8 630 76 $156

1958

2,312

1,386

932 96.3

72.9

32.6

795.3

148.2

563. 4

123.6

62

864

17,483

141, 358

2,118
1,306
70

742

15, 281 154, 845

1959

31,296

3,797 861 26, 638 7,239

646

163

6, 430

929 128. 1

76.0

26.6

755.0

144.7

580.6

134. 5

16, 481

469

368

7 15, 644

17,498

169, 451

7,576

2,682

330 4,564

15, 467 166, 158

Foreign countries In transit and afloat

1,058

1,058

148

148

635

635

275

275