Costs of NATO Enlargement

NATO must pursue a sound defense program as it enlarges-not to prepare for a threat, but to meet its peacetime preparedness standard. DOD's cost estimate of $27-35 billion for all NATO enlargement measures through 2009 causes sticker shock to some, but it is moderate: only about 1% of NATO's total defense spending. This estimate is not low-sided or prone to major inflation. It is similar to the RAND estimate, and lower than the CBO estimate because CBO embraced a higher threat and theory of requirements. The United States will not be carrying unfair burdens. Its expense may be no more than $2 billion through 2009. The cost of stationing U.S. forces in Europe will not rise appreciably.