The steady decline in defense spending between 1987 and 1999 can be best explained by:
1. The end of the Cold War: The conclusion of the Cold War in the late 1980s led to a shift in global geopolitics. With the dissolution of the Soviet Union and the easing of tensions between the U.S. and other major powers, there was less perceived need for high levels of defense spending. This change in the international landscape played a significant role in the decrease of defense budgets during this period.
2. The First Gulf War: The First Gulf War, which took place in 1990-1991, marked a significant military engagement for the United States. However, the war was relatively short-lived and did not require sustained high levels of defense spending in the subsequent years. As a result, the end of this conflict could have contributed to the declining trend in defense expenditures.
Both the end of the Cold War and the First Gulf War played crucial roles in influencing the downward trajectory of defense spending during the period between 1987 and 1999. These events altered the strategic priorities and perceived threats faced by the United States, leading to adjustments in budget allocations for defense.
