‘This war has skewed our thinking about resources’

Getting a realistic estimate for the financial cost of the war in Iraq is tricky, if not impossible. We have direct spending, interest on the debt (the war is almost entirely going on the national credit card), increased medical costs, major future expenses, etc. One thing’s for sure — Bush administration estimates of a $50 billion price tag were a little off the mark. OK, more than a little.

At about $300 million a day, the cost is increasingly painful. Linda Bilmes, at the Kennedy School of Government at Harvard, and Joseph Stiglitz, a Nobel laureate and former Clinton administration adviser, put a total price tag of more than $2 trillion on the war. Today in the New York Times, David Leonhardt puts the number closer to $1.2 trillion, and explains todaywhat could the money could have been spent on.

For starters, $1.2 trillion would pay for an unprecedented public health campaign — a doubling of cancer research funding, treatment for every American whose diabetes or heart disease is now going unmanaged and a global immunization campaign to save millions of children’s lives.

Combined, the cost of running those programs for a decade wouldn’t use up even half our money pot. So we could then turn to poverty and education, starting with universal preschool for every 3- and 4-year-old child across the country. The city of New Orleans could also receive a huge increase in reconstruction funds.

The final big chunk of the money could go to national security. The recommendations of the 9/11 Commission that have not been put in place — better baggage and cargo screening, stronger measures against nuclear proliferation — could be enacted. Financing for the war in Afghanistan could be increased to beat back the Taliban’s recent gains, and a peacekeeping force could put a stop to the genocide in Darfur.

Lost opportunities, all.

Leonhardt added another way of considering the numbers — annually.

Whatever number you use for the war’s total cost, it will tower over costs that normally seem prohibitive. Right now, including everything, the war is costing about $200 billion a year.

Treating heart disease and diabetes, by contrast, would probably cost about $50 billion a year. The remaining 9/11 Commission recommendations — held up in Congress partly because of their cost — might cost somewhat less. Universal preschool would be $35 billion. In Afghanistan, $10 billion could make a real difference. At the National Cancer Institute, annual budget is about $6 billion.

“This war has skewed our thinking about resources,” said Mr. Wallsten, a senior fellow at the Progress and Freedom Foundation, a conservative-leaning research group. “In the context of the war, $20 billion is nothing.”

Remember when White House economic adviser Larry Lindsey was fired, in part because he acknowledged, in public, that the cost of the war could be as high as $200 billion? Remember in the 2004 presidential election, when Bush/Cheney said Kerry/Edwards didn’t know what they were talking about because both said the war cost about a quarter-trillion dollars?

I think the White House would prefer if we just forgot about all of that.

Coulda and shoulda but wouldn’ved. Imagine trying to pass a 1.2 trillion dollar spending bill for those worthy projects. It just never would have happened.

yet with lies and inch-worminess that much can be spend on death and destruction.

Only freedom and more of it can manage chaos.

  • If we could have evolved without spending the vast majority of our resources on killing each other, think of what we as a species might have accomplished

  • $1.2 trillion dollars blown, all so we could watch a crappy cellphone snuff video of Saddam’s hanging. And George said he didn’t even want to watch it. Not worth the price of admission in my book.

    What a wonderful world this could have been, if not for George W. Bush.

  • Yeah, but that money was so important to so many parts of our country’s private sector. After all, without the cash coming in from all those projects in Iraq, many wouldn’t have been able to buy another mansion, or buy out competitors, or contribute to politicians, or support political media sources and parties, or go golfing, share skyboxes, invest, or build their dreams. The trickle down of all that money has made our economy the success that it is today. Yup. 😉

  • I would add on the cost of the blowback from this fiasco, plus the cost of reacting to the blowback. That will easily be another trillion.

  • Hey, think of how many flowers (as in they will welcome us as liberators and shower our troops with flowers) we could have bought with that money.

    Can I have my kid call in and contest these charges put on the national credit card? He’s going to be paying it off,and I think he should have a say for what he gets charged.

  • Given a $1.2 trillion war and an Iraqi population of 27 million, we could have given every man, woman and child in that country over $44,000. For a family of 5, that’s enough to get matching high-end Mercedes for Mom and Dad.

  • One of the results of the war is a massive redistribution of wealth from the public(middle class) to the private(extremely wealthy) sector. I believe this was an intended outcome of the ‘war’ in Iraq.

    Has anyone compiled a comprehensive list of exactly who is making money from this?

  • The monetary cost of this war and all the others to follow will be paid by our citizens in high interest rates and inflation. In a few years our children will be paying twenty dollars for a cup of Starbucks and two million for a decent house in the suburbs. They will try to pay off this wiar with inflated dollars. Inflation is the hidden tax that hurts all but the very rich who are living on passive interest payments. That is what happened after Vietnam, and I fully expect the same thing to happen again. I am afraid we will never see another balanced budget in our lifetimes, but I hope I am wrong. Don’t expect the government to afford anything but self serving bulls**t.

  • If we had devoted 1.2 trillion dollars towards weaning ourselves off of the teat of ME oil we wouldn’t even need to have discussions about terrorists attacking this country. It boggles my mind how shortsighted we are as a country.

  • We could have offered Saddam 200 billion to walk away, offered another 100 billion for Bin Laden ass’s and still had 900 billion to play with and hit 300 million in this country 3000+ people sooner.

  • Or just given every man, woman, and childen in this country their $4000 back. 1.2 trillion divided by 300 million.

    But it’s corporate welfare that is bringing us to our knees.

  • How much of that $1.2 billion has gone to “support the troops?” How much was/is used to pay of the invaluable Coalition of the Willing?

  • All this because Dick Cheney was jealous of the multi-millionaries and wanted to be one too.

    Why couldn’t he just steal the money like Ken Lay?

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