There’s an element of realpolitik here too: a predictable side effect of ending subsidies for the aerospace industry is that the business would shift to a country that does subsidize. Those companies build a lot of operational knowledge that is super useful — to the point of being a major strategic advantage — in wartime. It also makes you beholden to that country (and subsequent economic sphere of influence) strategically. Governments are responsible for more than just the economy.

Competition between governments is also a thing, and I think we’re already seeing it matter as part of a pullback on globalization with respect to China.

And, ironically, the same people that want these subsidies argue for less government oversight because the "market will sort itself out."

Sorry but i have never heard a small government person think there should be airplane subsidies in my life.

Many Republicans are in favor of subsidies of industries like Boeing when they are in their district. I expect they would describe themselves as believers in small government.

And let's not resort to the No True Scotsman fallacy ...

Probably because it means they get federal money, not because they want to cut out the subsidies out of their own budget.

Who paid the F35s 1.5 trillion?

The people of the countries the US is strong arming into buying this failure

That's the military, not the airplane industry.

No one because it's not a lump sum. It's a projected cost over 50 years.