|Responsibility Sharing Report||March 1998
The purpose of this Appendix is to provide detailed statistics
and supporting data upon which the evaluations presented in the
Department's 1998 Report to Congress on Allied Contributions
to the Common Defense are based. This Appendix is provided
as a companion document to that Report, which presents the Department's
assessment of the relative contributions toward shared defense
and security objectives made by the United States, our NATO allies,
key security partners in the Pacific (Japan and the Republic of
Korea), and the countries in the Gulf Cooperation Council (GCC).
This Appendix is organized into four sections, described below.
A. Selected Indicators. Data upon which many
of the Report's assessments are based involve a comparison of
a country's contributions relative to its ability to contribute.
This section provides the data upon which this analysis is based.
The analysis is conducted in three stages:
- A country's contribution is expressed as a share of
the total contributions of all nations in the Report (e.g., share
of total defense spending, share of total active-duty military
personnel). These data are presented in Table A-2 through A-4.
- Similarly, a country's ability to contribute is expressed
as a share of the total of all nations in the Report (i.e., share
of total GDP, share of total labor force). These data are shown
in Table A-1.
- By creating a ratio of the share of contribution divided by
the share of ability to contribute, analysts can draw conclusions
as to the extent and the equity of nations' efforts. These ratios
are provided in Table A-5 through A-7.
When this analysis results in a ratio of around 1.0, a country's
contribution is judged to be in balance with its ability to contribute.
Generally speaking, the Department gives a nation credit for
"substantial contributions" relative to its ability
to contribute when it achieves a ratio of 1.2 or greater. Ratios
of 0.8 or less indicate very low effort relative to ability to
B. Additional Statistics. This section provides
data values upon which many of the Selected Indicators are based.
Most of the tables in this section also provide information such
as subtotals, shares, and ranks. NOTE: In Tables B-9 through
B-12, only shares and ranks can be presented, since actual data
values are classified.
C. Bilateral Cost Sharing. This section presents
detailed estimates of nations' bilateral cost sharing support
for the United States during 1996, the most recent year for which
complete data are available.
Data Notes.This section presents sources and
notes pertaining to the data used in the Report and summarized
in this Appendix.
- Selected Indicators of Contributions Relative to Ability to Contribute Economic
- Selected Indicators of Contributions Relative to Ability to Contribute Defense Spending & Personnel
- Selected Indicators of Contributions Relative to Ability to Contribute Forces
- Selected Indicators of Contributions Relative to Ability to Contribute Other
- Selected Indicators of Contributions Relative to Ability to Contribute Defense Spending & Personnel Ratios
- Selected Indicators of Contributions Relative to Ability to Contribute Forces Ratios
- Selected Indicators of Contributions Relative to Ability to Contribute Other Ratios
- Gross Domestic Product - 1997 Constant U.S. Dollars
- Gross Domestic Product Per Capita - 1997 Constant U.S. Dollars
- Labor Force
- Total Defense Spending - 1997 Constant U.S. Dollars
- Total Defense Spending as a Percent of GDP
- Defense Spending Per Capita
- Total Active-Duty Military Personnel
- Total Active-Duty Military Personnel as a Percent of the Labor Force
- Ground Combat Capability (in U.S. Armored Brigade Equivalents)
- Naval Force Tonnage (All Ships Less Strategic Submarines)
- Tactical Air Force Combat Aircraft
- Tactical Fixed Wing Naval and Marine Combat Aircraft
- Peace Support Personnel
- Peace Support Funding
- Total Foreign Assistance
Country Cost Sharing Tables
The Department has every confidence that the data presented in
this Appendix are as complete, current, and comprehensive as they
can be, given the deadlines established in the legislation.
Timing and Limitations
The FY 1998 Defense Authorization Act stipulates that allies should
take certain actions or achieve certain results in various indicators
of responsibility sharing by September 30, 1998. Due to unavoidable
time lags in the collection and analysis of the necessary data,
the 1998 Report on Allied Contributions to the Common Defense
relies on statistics for 1996 and 1997. Projected data for 1998
are either not available for many key elements necessary to the
analysis, or where available, are generally unreliable. The Department
is therefore unable to assess countries' performance against Congressional
targets set for 1998, and -- due to these time lags in data collection
and analysis -- will be unable to do so for another one to two
- Defense spending data are provided by a variety of sources.
NATO's December 1997 report on Financial and Economic Data
Relating to NATO Defense is the primary source for past and
current defense spending data for the NATO nations, including
the United States. Sources of defense spending for Japan, the
Republic of Korea, and the GCC nations include U.S. embassies
in the host nations, recent national defense white papers (where
available), and the International Institute for Strategic Studies
Wherever possible, for purposes of standardization and comparability
the Report presents defense spending figures using the NATO definition
of what constitutes defense spending. According to this approach,
defense expenditures are defined as outlays made by national governments
specifically to meet the needs of the armed forces. In this context,
the term "national government" limits "defense
expenditures" to those of central or federal governments,
to the exclusion of state, provincial, local, or municipal authorities.
Regardless of when payments are charged against the budget, defense
expenditures for any given period include all payments made during
that period. In cases where actual 1997 defense outlays are not
available, final defense budget figures are substituted. War
damage compensation, veterans' pensions, payments out of retirement
accounts, and civil defense and stockpiling costs for industrial
raw materials or semi-furnished products are not included in this
definition of defense spending.
- GDP data for NATO members, the Republic of Korea, and Japan
are taken from the Organization for Economic Cooperation and Development
(OECD). GDP data for the GCC countries (which are not reported
by OECD) are drawn from the World Bank and the WEFA Group.
- UN peacekeeping data are taken from UN reports for 1997.
In the past the Department supplemented the UN figures with data
on voluntary country contributions in support of Security
Council resolutions (amounting to roughly $2.7 billion in 1996).
Because comparable data on voluntary contributions are not available
for 1997, prior year data have been adjusted in order to permit
valid trend analysis of UN contributions.
- Military personnel data are taken from the Annual NATO
Press Release (December 1997) and the International Institute
of Strategic Studies' The Military Balance 1997-1998.
- Military forces data (ground, naval, and air) are drawn
from a variety of sources.
In general, forces data are based on information provided by nations
under the CFE data exchange (for those forces limited by CFE),
supplemented with data from responses to the NATO's Defense
Planning Questionnaire (for those nations that participate
in NATO's integrated defense planning process), open sources (such
as Jane's Defense publications and magazines
and the International Institute for Strategic Studies' (IISS)
Military Balance for 1997-98), and DoD sources.
- Ground combat capability data assess all major combat
systems, including tanks, armored personnel carriers, armored
infantry fighting vehicles, artillery, anti-tank weapons, and
attack helicopters for army and marine units. Transport, small
arms, or combat support assets are not included. The quantity
and quality of nations' equipment holdings are assessed using
widely used static measures. Estimates are normalized using the
score of a U.S. armored brigade in order to express each nation's
static ground force potential in terms of a standardized unit
- Naval tonnage data includes aircraft carriers, attack
submarines (non-strategic), principal surface combatants (cruisers,
destroyers, frigates, and corvettes), mine warfare ships and craft
(including mine layers), patrol combatant ships, and amphibious
warfare ships. Patrol craft, amphibious craft, or service support
craft are not included.
- Air forces data includes fixed-wing combat aircraft
(air force, naval, and marine assets) in the following categories:
fighter/interceptor, fighter/bomber, conventional bomber, and
tactical fighter reconnaissance aircraft (including combat capable
trainer and electronic warfare aircraft). Not included are maritime
patrol aircraft (MPA), anti-submarine warfare (ASW) aircraft,
transports or air-to-air refueling aircraft, strategic bombers,
or any support or special mission aircraft.
- Cost sharing data are provided by U.S. embassies and DoD
components, including the military departments and commands.
DoD components also provide estimates of U.S. stationing costs
by country. Extensive manual evaluations are required to determine
the estimated value of contributions made by each nation to the
United States, and of U.S. expenses incurred overseas. Cost sharing
data and stationing cost estimates for a given year are collected
by the Department during the spring of the following year, and
are then evaluated and published as budget exhibits. Due to the
Congressional deadline for this Report, the Department has used
estimates for 1996. Data gaps and classification of figures prevent
full coverage of cost sharing and stationing cost estimates for
Cost offset percentages cannot be calculated for all GCC nations
(except Saudi Arabia) due to lack of information regarding U.S.
stationing costs in those countries.
Bilateral cost sharing is divided into two categories, according
to whether the costs are borne by the host nation on-budget (direct
cost sharing), or only as imputed values of foregone revenues
(indirect cost sharing). Direct cost sharing includes costs borne
by host nations in support of stationed U.S. forces for rents
on privately owned land and facilities, labor, utilities, facilities,
and vicinity improvements. Indirect cost sharing includes foregone
rents and revenues, including rents on government-owned land and
facilities occupied or used by U.S. forces at no or reduced cost
to the United States, and tax concessions or customs duties waived
by the host nation.
- Foreign assistance data are provided by the OECD. The
OECD's Development Assistance Committee (DAC) encourages commitments
of international aid, coordinated aid policies, and consistent
aid reporting. The DAC's definition of "official development
assistance" (ODA) is recognized as the international standard
for reporting aid provided to developing countries and multilateral
institutions. This is immensely useful, since "aid"
is an extremely broad term, and encompasses many different types
of assistance, which can make contributions from various nations
very difficult to compare directly.
OECD has a 27-nation membership (G-27), including all NATO countries
and Japan. The G-27 establishes economic and political conditions
that nations must meet before receiving assistance (e.g., demonstrated
commitment to political reform, and free and fair elections).
Subsidies are provided in the form of trade and investment credits,
grants, and loan guarantees, and are directed into areas such
as food aid, medical supplies, and technical assistance in management
training, privatization, bank and regulatory reform, environmental
projects, market access/trade, nuclear reactor safety, and democratic
institution building. The G-27 is also coordinating nuclear safety
assistance to the NIS.
Aid to 13 of the 22 emerging economies of Central Europe and the
NIS does not qualify as official development assistance for OECD
purposes, but instead is categorized as "official aid"
(OA). Both categories, ODA and OA, cover identical types of assistance,
with the only difference being the recipient nations. Therefore,
total foreign assistance evaluated in this Report is the sum of
all ODA and OA.
The Report is based on available data covering 1990 through 1996.
At this time, complete and reliable foreign assistance data is
available only through 1996 due to complexities and delays in
the OECD collection and reporting process. Data are not complete
for some countries for 1995 or 1996. Specifically, 1995 data
for Spain, Luxembourg, the Republic of Korea, and Greece reflect
ODA disbursements only, as OA data are not yet available.
Similarly, 1996 data for the Republic of Korea and Greece
also reflect only ODA disbursements. No data are available for
Turkey in 1996, nor in any year for Bahrain, Oman, and Qatar.