Sniffer,
by no stretch are you showing your "ignorance" I would rather see someone ask questions, then preach without knowing the actual technical details of what they are preaching.
1) "Military" Brass is a very broad term, you could classify everything from Norinco to Lake City to IVI as Military brass, quality is all over the place. North American & most NATO brass is of fairly good quality, I haven't seen too much European NATO brass, however I do have 2 x 45 gallon drums of British 5.56 that looked good, I haven't gotten into processing it yet though. For the most part, as long as the brass was not fired in an open bolt weapon... IE, C9, M249 it will not hard to resize beyond would be considered normal force. Open bolt weapons tend to have a bit extra head space for reliability purposes, along with occasionally tearing off pieces of rims and such.
2) Swaging removes the crimp from the primer pocket, and very slightly chamfers the mouth of the primer pocket to allow seating of a new primer. It doesn't uniform the pockets, it just opens the sides a bit. A Dillon Super 1050 has a built in primer pocket swage at the third station.
3) When I load .223 for myself, I do it progressively only, as I don't shoot "match ammunition" I just run Remington Brass with a 55 GR FMJ, CCI #41 and CFE 223 and away I go to the races. It still shoots better then Norinco, or Federal black box, however I run iron sights, so my accuracy is limited by my eyes and the stock trigger in my rifle.
Because I have all the processing equipment, I process and trim everything before I load it. Then I shoot it and leave it at the range (not on), there are the occasional guys who follow me around and pick my brass after me. They know it is all freshly processed and they will not have to do any work on the brass for a few loadings. I try and trim it to 1.747" +/- 0.003". Right now I am running a Honey Badger Trimmer, and will be ordering a Camdex .223 Trimmer here in a couple of months, however at $34,000 USD it is a tough pill to swallow.
Honey Badger Trimmer
Camdex Trimmer