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treestar Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:52 AM
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WP: Cost of War, Why We Don't Feel the Financial Pain
http://www.msnbc.msn.com/id/18543885/

By Lori Montgomery

Updated: 7:25 a.m. ET May 8, 2007
The global war on terror, as President Bush calls the fighting in Iraq and Afghanistan and related military operations, is about to become the second-most-expensive conflict in U.S. history, after World War II.

Since the Sept. 11, 2001, terrorist attacks, Congress has approved more than $609 billion for the wars, a figure likely to stand as lawmakers rework their latest spending bill in response to a Bush veto. Requests for $145 billion more await congressional action and would raise the cost in inflation-adjusted dollars beyond the cost of the wars in Korea and Vietnam.

But the United States is vastly richer than it was in those days, and the nation's wealth now dwarfs the price of war, economists said. Last year, spending in Iraq amounted to less than 1 percent of the total economy — about as much as Americans spent shopping online and less than half what they spent at Wal-Mart. Total defense spending is 4 percent of gross domestic product, the figure that measures the nation's economic output. In contrast, defense spending ate up 14 percent of GDP at the height of the Korean War and 9 percent during the Vietnam War.


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WilliamPitt Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:54 AM
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1. War creates and sustains wealth.
http://www.truthout.org/docs_2005/062305X.shtml

When the United States jumped into World War II, President Roosevelt ordered the American economy be put on a wartime footing. This was a sound decision: the country had to speed its industrial capabilities up to a sprint in order to manufacture a huge fighting army out of whole cloth. The action was successful beyond measure. The economy was invigorated, the war was won, and in the process the military/industrial complex, so named by President Eisenhower, was established as a power player in the American economy.

In 1947, President Harry Truman put forth the Truman Doctrine, a broad policy of foreign intervention to combat the feared spread of Communism around the world. The Doctrine was essentially created by a small band of men like Paul Nitze, who were the precursors of what we now call neo-conservatives. Nitze, it should be noted, was the mentor of Paul Wolfowitz, who went on to be the mentor of Donald Rumsfeld and Dick Cheney.

The establishment of the Truman Doctrine, the establishment of the "permanent crisis" that was the Cold War, required that the American economy remain on a wartime footing. There it has remained to this day, despite the fall of the Soviet Union and the collapse of the threat of a global communist takeover. Ten thousand books have been written on this subject, on the impact of our wartime economic footing upon domestic policy, the environment, global affairs and politics. In the end, however, the fact that our economy is set on a wartime footing means one simple thing.

We need wars.

Without wars, the economy flakes and falls apart. Without wars, the trillions of dollars spent on weapons systems, military preparedness and a planetary army would dry up, dealing a death blow to the economy as currently constituted. Without wars or the threat of wars, the populace is not so easily controlled and manipulated.

Let us be clear, however. When I say "we," I do not refer to your average working man and woman on the street. The man running the shoe store or the woman managing the bar does not need war to remain economically viable. The "we" I speak of is that overwhelmingly wealthy and powerful few who have wired their fortunes into the manufacture of weapons, the plumbing of oil, and the collection of spoils through political largesse.

These are the people who need war. They need it to pile up the contracts from the Pentagon, to enrich the banking institutions that protect them, to pay the lawyers who defend them, to pay the lobbyists who sustain them, to purchase the politicians who champion them, and to buy up the media that hides them from sight.

Yet though this group is small in number, they are "we," for they are our leaders and our myth-makers. They have convinced the majority of this population that war is a necessity. They create the premises for combat and invasion, they convince and cajole and, when necessary, frighten us into line. All too often, almost every time, we buy into the fictions they manufacture, thus sustaining the "permanent crisis" mentality and the need for war after war after war.

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treestar Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:57 AM
Response to Reply #1
2. Thus we have the MIC's constant attempts to create a new enemy
ever since the fall of the Soviet Union. Reagan beat the Communists, so we tried Saddam Hussein, that only lasted a while, but Al Qaeda gave the PNAC the the new enemy. Which ironically, developed out of our old rival with the Soviets, as they built up Al Qaeda from the vacuum created when the Soviets withdrew.
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NightWatcher Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:59 AM
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3. we dont feel the $ pain because we are printing more money
and selling our infrastructure to foregin countries.
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treestar Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:03 AM
Response to Reply #3
4. Which we will feel the pain from someday, and I wonder if
the voters of that time will appreciate the great sacrifices we had them make in the name of our safety.
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