If Increased Spending Is Good For The Economy, Then Why are Slashing The Military Budget?

From Fox News:
Defense Secretary Chuck Hagel announced Wednesday that he's cutting his Pentagon staff by 20 percent in an effort to save at least $1 billion over five years, as part of broader across-the-board cutbacks at the Defense Department. 

Hagel, at a news conference with Chairman of the Joints Chiefs of Staff Gen. Martin Dempsey, urged Congress to avoid another year of mandatory budget cuts known as sequester. The military already is cutting tens of billions from its budget projections over the next decade, but the sequester made the cutbacks even deeper. Sequester supporters argue that the mandatory cuts are critical to getting the nation's debt and deficits under control. 

Regardless, Hagel laid out the details of the plan for his Pentagon staff, which was announced in broad terms last summer. 
"Much of these savings will be achieved through contractor reductions, although there will be reductions in civilian personnel," Hagel said. "Ultimately other headquarters elements will be implementing similar" cuts. 
The plan is part of a larger proposal to reorganize his staff and trim the budgets of various civilian defense headquarters.   http://www.foxnews.com/politics/2013/12/04/hagel-announces-1b-in-pentagon-staff-cutbacks-amid-budget-talks/
We've been told so many times that if you increase government spending, you help improve the economy.  Food stamp spending helps the economy, when we had a government shut down, the economy was suppose to suffer, the sequestration hurt the economy but when it comes to cutting spending in the military, I guess to liberals, the hurting the economy doesn't matter.