To: pabianice
But as the cost of the F/A-22 has swelled, estimates range from $130 million to $250 million each, the number of aircraft the Pentagon plans to buy has shrunk from 750 to about 300, according to the Government Accountability Office.
Stupid reporter. If you have half the aircraft to spread the cost of R&D and start-up over, it is no wonder the contract cost per unit has gone up almost double. I have never heard of one government contract that reduced its' buy amount down (after contract award) where the cost per unit delivered hadn't gone up.
15 posted on
12/21/2004 1:28:29 PM PST by
jettester
(I got paid to break 'em - not fly 'em)
To: jettester
Halving the buy, doubles the unit price. Simple math.
17 posted on
12/21/2004 1:32:05 PM PST by
Tallguy
To: jettester
"Stupid reporter"
Agreed. Reporters need to take at least basic economics before writing on subjects like this. Maybe then they could understand the difference between fixed and marginal costs.
18 posted on
12/21/2004 1:35:42 PM PST by
Moral Hazard
(With a pickle mind we kick the nipple beer.)
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