Economics For Everyone
Even me. Since lots of those who relentlessly pound the drums for war talk about how it will somehow, magically, be good for the economy, I'm glad Galbraith explains this for the reader:
"The U.S. had one good economic experience with war. World War II conquered the Depression, reindustrialized the country and built the middle class. But that was special. The U.S. fought WWII with full mobilization, super-high taxes, super-low interest rates, big deficits, price controls and rationing. Iraq isn't going to be like World War II.
"Economically, the Iraq war is more like Vietnam: insidiously underestimated, sold to the public and Congress on false premises, improperly budgeted and inadequately taxed. During the Vietnam years, there was also economic growth at first. But then came creeping inflation, followed by worldwide commodity shocks, the oil crisis of 1973, international monetary disorder and a decade of economic troubles."
Oy.
Even me. Since lots of those who relentlessly pound the drums for war talk about how it will somehow, magically, be good for the economy, I'm glad Galbraith explains this for the reader:
"The U.S. had one good economic experience with war. World War II conquered the Depression, reindustrialized the country and built the middle class. But that was special. The U.S. fought WWII with full mobilization, super-high taxes, super-low interest rates, big deficits, price controls and rationing. Iraq isn't going to be like World War II.
"Economically, the Iraq war is more like Vietnam: insidiously underestimated, sold to the public and Congress on false premises, improperly budgeted and inadequately taxed. During the Vietnam years, there was also economic growth at first. But then came creeping inflation, followed by worldwide commodity shocks, the oil crisis of 1973, international monetary disorder and a decade of economic troubles."
Oy.
posted by Jude at 9:55 AM
