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But that frees up Israel to do other stuff with the money they would otherwise have spent on the types of military equipment they buy from the US, since the US money doesn't replace Israel's other sources of funding. It does increase Israel's total spending power, even if it also forces some of that spending to go to US vendors.

> The money that is sent there goes directly to the military-industrial complex back in the United States.

So it's a ploy to expand the military budget beyond what was allocated by Congress. Either way, that's a money sink, not an investment.

On the other hand, supporting the weaponmaking sector of the military-industrial complex silos domestic technical talent from otherwise working on problems that don't involve killing other people.

No, it's not. The dollars are simply a proxy for transferring weapons/value for free. If you want a jobs program, create one to build affordable housing, infra., etc., not fight endless wars.

Reminds me of the AMD <—> OpenAI circular financing.

America has practiced this trick well.