In 2008, Israel spent $16.2 billion on its armed forces, making it the country with the biggest ratio of defense spending to GDP; 2011: $16 billion; Percent of GDP: 6.9%.For comparison, the U.S. spends about 4.7%.During 1950–66, Israel spent an average of 9% of its GDP on defense. Defense expenditures increased dramatically after both the 1967 and 1973 wars. They reached a high of about 24% of GDP in the 1980s, but have since come back down to about 9%, about $15 billion, following the signing of peace agreements with Jordan and Egypt. In 2008, Israel spent $16.2 billion on its armed forces, making it the country with the biggest ratio of defense spending to GDP and as a percentage of the budget of all developed countries.($2,300 per person).
But if they can afford to spend $16.2 billion a year, why do they need billions of dollars a year from American taxpayers too? Why should US taxpayers foot the bill for 15-20% of Israel’s military budget?