Is the military-industrial complex a result of the reliance of the capitalist economy on military production as a stabiliser of - Essay Example President Eisenhower used the term to refer to the close ties between the military and industrial sectors. The origin of military industrial complex can be traced during World War II period, when many companies came into contact with the state. Majority of the companies started manufacturing armaments and tanks for the government on a large scale. During the world war, the Department of Defense granted many private companies military contracts in aerospace and the production of military weapons, tanks and vehicles. The US government was not producing weapons like other countries, but contracted private companies to supply the needed military material. As a result of the cold war tensions, many con-agglomerates won valuable defense contracts. This contributed to the rise of stock prices in the year 1960 (Geisst 2006, p.272). The private companies relied on government contracts to get their revenue.
