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The US army is predicated closely on protection contractors to offer the most important provides and kit. However, a contemporary six-month investigation through CBS News’ 60 Minutes has printed that the army provide chain is affected by rampant price gouging by the hands of those contractors.
This is a significant issue as it signifies that the Pentagon is being overcharged for important items and services and products. As a outcome, taxpayer greenbacks don’t seem to be being spent as successfully as they must be to give a boost to nationwide protection efforts.
The investigation exposed a lot of examples of price gouging through protection contractors. In one case, a contractor charged $32 consistent with piece for a easy turbine engine phase that are supposed to have price round $10. In every other, a contractor charged $238 for a small tools that used to be price simply $32.
These inflated costs can also be attributed to plenty of components, together with a loss of pageant within the protection business and the advanced nature of army contracts. However, the result is identical: the Pentagon is paying way over it must for crucial provides and services and products.
Efforts are underway to deal with this factor, together with requires greater transparency in army contracting and extra oversight to verify honest pricing. However, it is still noticed whether or not those measures might be efficient in curtailing price gouging through protection contractors.
Overall, the problem of army contract price gouging is a vital one who calls for consideration and motion to make sure that taxpayer greenbacks are being spent properly and successfully on nationwide protection efforts.
