Well it appears we are in agreement....because every aspect of defense procurement you are bemoaning with the USA occurs in European defense acquisitions just the same.
The only difference is that, in addition to sole source contracts and rolling profits back into products, we see massive, multi-decadal, multi-billion dollar civilian projects that are directly funded by government cheese without the auspices that it isn't just for the socialist-style employment guarantee and industry development to compete with the USA.
Think Boeing vs Airbus. Airbus enjoys the $2 billion investment the Eurozone makes in Cleansky 2. The counter argument is that Boeing enjoys the profits from US tanker contracts, AH-64, F/A-18, etc. Well, Airbus also enjoys the same funding from their own domestic military contracts like the A400, C295, Eurofighter, etc with the same sort of shenanigans going in contract award.