Runner-up in this category was Israel's Rafael Advanced Defense Systems, the maker of "Iron Dome," the Israeli ABM system designed to intercept short-range rockets. According to Rafael officials, Iron Dome was 80 percent effective in intercepting Qassem and Grad rockets fired by Palestinians from Gaza during last November's Operation Pillar of Defense.
But an independent analysis of Iron Dome's effectiveness discovered that the 80 percent figure was mostly hype. Tesla Laboratories, a U.S. defense company, found that the interception success rate was between 30 and 40 percent, and Ted Postal -- the Massachusetts Institute of Technology professor who successfully debunked the accuracy claims for Patriot missiles fired during the 1991 Gulf War -- says Iron Dome has a "kill rate" of between five and 10 percent.
But a lack of success seems to be a sure fire way to open the cash spigots.
The U.S., which contributed more than $200 million to build Iron Dome, will spend an additional $680 million through 2015. The U.S. will also throw $173 million into Israel's high altitude Arrow 2 and Arrow 3 interceptors, part of which are made by Boeing.
ABMs tend to be destabilizing, because the easiest way to defeat them is to overwhelm them with missiles, thus spurring an arms race. They also give their owners a false sense of security. And while they don't work, they do cost a lot, which is bad news for taxpayers and good news for Boeing -- also, the prime contractor for the U.S. ABM system -- and Toys R Us. Yes, Toys R Us makes the guidance fins on the Iron Dome rocket.
The Golden Lemon Award once again goes to Lockheed Martin (with a tip of the hat to sub-contractors Northrop Grumman, BAE, L-3 Communications, United Technologies Corp., and Honeywell) for "shoddy" work on the F-35 stealth fighter, the most expensive weapons system in U.S. History. The plane -- already 10 years behind schedule and 100 percent over budget -- has vacuumed up $395.7 billion, and will eventually cost $1.5 trillion.
A Pentagon study, according to Agence France Presse, "cited 363 problems in the design and manufacture of the costly Joint Strike Fighter, the hi-tech warplane that is supposed to serve as the backbone of the future American fleet."
The plane has difficulty performing at night or in bad weather, and is plagued with a faulty oxygen supply system, fuselage cracks and unexplained "hot spots." Its software is also a problem, in part because it is largely untested. "Without adequate product evaluation of mission system software," the Pentagon found, "Lockheed Martin cannot ensure aircraft safety requirements are met."
In the meantime, extended unemployment benefits have been cut from the federal budget. The cost? About $25 billion, or 25 F-35Cs that don't work.