Estimating the cost of a weapon system or a force is difficult. Estimates are made before the system exists, rely on assumptions about technology and production, and can change as programs develop.
Common methods include analogy with similar systems, parametric models, and detailed bottom-up estimates. Independent cost estimates by separate offices help check optimism.
When reading cost figures, ask whether they include development, production, and operating costs over a system’s life, and whether they are in constant dollars.
