US war in Iraq: the financial cost to Americans

Nobel Economics laureate Joseph Stiglitz and his colleague Linda Bilmes have recently tallied the overall cost to the US economy of George W. Bush’s war in Iraq at $3 trillion. I haven’t read enough of their study to understand what assumption they are using there for the future length of the war going forward. (Can anybody know that at this point? If John McCain is serious about committing the US to the battlefield there for “100 years”, then at what point do the costs of that engagement become simply unquantifiable? Pretty soon into the 100 years, I’d say.)
Next week we will mark the fifth anniversary of this tragic engagement. In those five years Iraq, the country, has been essentially destroyed. Scores of thousands, or perhaps hundreds of thousands, of Iraqis have lost their lives. More than four million of them have been displaced within or outside the country’s borders. Compared with the suffering that the war has inflicted on Iraqis, it seems almost trivial to mention the loss it has inflicted on the US citizenry. Nearly 4,000 volunteer service members have been killed, and tens of thousands more left with lasting physical injuries; hundreds of thousands with mental and spiritual injuries. (Remembering that just about all Iraq’s 30 million people have been left with mental and spiritual injuries by the war.)
And then, there is also the cost of the financial costs to the US citizenry, which in themselves are by no means trivial.
What was the war alleged to be “about”, again? Oh, WMDs, you might remember. SUNY Purchase professor Barbara Hatch Rosenberg has tallied the total budget of the UN’s 2002 inspection operation in Iraq (UNMOVIC) at “approximately $80 million, which includes the initial purchase of permanent equipment.” The budget of UNMOVIC’s predecessor, UNSCOM was “$25-30 million per year.” What is more, UNSCOM worked! Its operations and attentiveness did indeed lead to Saddam Hussein ending and destroying all his WMD programs sometime in the mid 1990s.
So imagine if, in 2002, in response to all the– as it turned out, completely hyped up, cherry-picked, and perhaps downright fabricated– allegations about Saddam still having WMD programs, the US had allowed the UN simply to continue with the UNMOVIC program, which was much more intrusive yet than the UNSCOM program.
(Which had worked… Did I mention that before?)
It would have cost the international community around $80 million a year.
Instead of which, the US taxpayers, with almost no help from anyone else (and after all, why should they?) are currently paying out on the continuing war in Iraq at a rate that Stiglitz and Bilmes estimate at $12 billion per month. That is, $144 billion per year.
Back in January 2003, when I went with my friends from the Charlottesville Center for Peace and Justice to the City Council hearing at which our city became formally designated as a “City for Peace”, I spoke to the councillors and explained how– after my study of Israel’s lengthy military invasion and subsequent occupation of Lebanon, I had noted the degree to which maintaining that occupation had become a massive drag on Israel’s economy. (I wrote about that, too, in those pre-war months of 2003.) And I told the city councillors that it was evident that:

    (1) the US would find it far harder to get out of Iraq than it was to get in, in spite of all the talk about a “cake-walk”, etc;
    (2) The costs of the maintaining the post-invasion occupation would be huge, and mounting;
    (3) Just the logistics costs alone, of sustaining a massive occupation force at such a distance from the US’s own borders, would be exponentially higher than the comparable costs had been for Israel, given that Lebanon was right next door; and
    (4) All this money would have to come from somewhere; and it would in fact come out of the US’s ability to provide decent basic services for its own citizens at home, which meant that it would be communities like Charlottesville that would end up suffering.

Guess what. It has all been happening.
This morning, as I drove from C’ville up to Washington DC I was listening to the hearing the Senate Appropriations Committee held on the costs of the war. Depressing, indeed. But at least we have a democratic majority in the senate which is holding hearings like this. I thought the Committee Chair pro-tem Sen. Patrick Leahy (D-Vermont) did a great job.

8 thoughts on “US war in Iraq: the financial cost to Americans”

  1. Perhaps we shouldn’t just look at the costs of war but also look at its benefits.
    President Bush: “I think actually the spending in the war might help with jobs…because we’re buying equipment, and people are working.”
    http://www.alternet.org/bloggers/terkel/77317/
    Others benefit too — Dick Cheney”s Halliburton stock went up three thousand percent http://rawstory.com/news/2005/Cheneys_stock_options_rose_3281_last_1011.html
    and he used his Halliburton dividends to purchase a $2.9m house.
    http://cryptome.org/cheney-eyeball.htm
    Bush’s Uncle Bucky made a killing off the war.
    http://www.counterpunch.org/stclair03022005.html
    Kickbacks, bribes and graft have contributed to war profiteering
    http://www.chicagotribune.com/news/nationworld/chi-kbr-war-profiteers-feb21,1,5231766.story
    Senator Diane Feinstein benefitted from her husband’s $800m in war contracts
    http://www.antiwar.com/frank/?articleid=8609
    http://www.antiwar.com/frank/?articleid=8618
    and Di was able to move into a very nice mansion
    http://www.warisaracket.org/feinstein_house.jpg
    The business of America used to be business, but our “public servants” found that war paid off better than the old-fashioned competitive marketplace.

  2. The cost of this pointless war is hardly to justify.
    The question is who should American people blame for this damage to their own.
    Hardly George W.Bush as when he was elected president of US he didn’t have a Passport and i guess he even didn’t know where Iraq is so whats the point.
    And yet he is in charge to determine the Peace direction of all involve in Midle East conflict.
    And the cost will grow,it took 2 US presidents to get out of Vietnam and i wonder how soon US people wake up to accept the paramount mismanagement of this administration.
    Sergi

  3. I agree with Don Bacon.
    The cost of the Iraq war? To whom?
    Provide decent basic services for citizens at home? A nanny state?
    Our economic ‘competition’ consists of big fish eating little fish, resulting in a relative handful of whales and sharks whose economic power gives them control of the political process, and domination of government policy. The prototype is the royal treasury vs. the national debt.
    The primary purpose of our government is to provide the honchos at Citibank, Halliburton, Blackwater, etc. with publicly-funded protection for their economic interests, such as in the mid-east oilfields. They have the means to purchase any goods and services that they need for their personal use. They’re sickened by the thought of providing those services for anyone else.

  4. The cost of the war by Stiglitz just another propaganda about war cost and US taxpayer money and all this crab.
    Simply its a money laundering by war, the money get out from right pocket gos to left pocket just search where its goes.

  5. The business of America used to be business, but our “public servants” found that war paid off better than the old-fashioned competitive marketplace.
    Well, maybe, but (1) the Party of Grant did pretty well out of the 1861-1865 troubles also, and (2) at the moment there appears to be some danger that organized violence is the only thing Uncle Sam is really good at any more.
    Happy days.

  6. “I don’t want to just end the war, but I want to end the mindset that got us into war in the first place.”
    ~ Sen. Barack Obama, January 31, 2008
    Then why doesn’t he stop funding the war? This makes no sense.

  7. ‘Exhaustive’ Pentagon-sponsored study finds no Saddam-Qaeda link
    Mike Sheehan
    http://rawstory.com/news/2008/Exhaustive_Pentagonsponsored_review_finds_no_link_0310.html
    For most of you who did counting down stearing at TV’s for the start of “Shock&Owe” bombing Iraq cherring and claping for your ” FAKE” heroes pay what you deserveing.
    Dont cry for the money, cry for 20 Millions millions humans in Iraq some killed and humilatied, tourtured and made them reffegies inside thier country out of thier land who lost their lifes and thier futur .
    If you need end of this war cost, jsut stand up and stope the war take your hereos out and keep crying for you monay.

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