Is War Good for the Economy?

[Gamer137]

If WWII showed anything, it's good for those who aren't being attacked, but the attacked will suffer way to much damage to make any increase meaningful.

 

[garfoldsomeoneelse]

The only reason the current Iraq/Afghanistan occupation by the United States isn't an economic boon is because it's an occupation that is using technologies that were largely already produced and on standby.

 

[minignu]

Can war be good for the economy? Sometimes, yes.

Is it sustainable? Usually not.

 

[MrBrightside919]

Yes because it can create jobs for a diminishing job market. Just look at what happened with WWII. Sure, the war part is really bad, but the economic side is really good.

 

[PirateKing]

I think we'd be in a better economic position if war were good. Though I'm not sure this recent stuff qualifies as a war.
I guess it can be. I wish it wasn't though. It would be nice if peace were profitable.

 

[G1eet]

In Orwell's 1984 it is... eternal war means less worry about food & homes, more output of steel, guns, bombs, etc.

 

[Bulletinmybrain]

Work in a factory! Support a fascist African dictator with guns! Make us rich and them armed! AK'S for everyone!

 

[Cocal]

One Word my friend.
Zeitgeist.
It is a movie that explains a lot. But is VERY VERY controversial so I would NOT suggest watching it unless you're :
1) Atheist, Agnostic or open to religion.
2) Open to conspiracies
3) Open Minded.
I how ever agree with some of it not all but some.

In my opinion though. I think there is nothing like a good old fashion war to get our economy going! It's horrible and disgusting but it's a fact. America, goes to war with say country blank and we put in 10m but being in the economic situation we are in now we would get every person with out a job into a job (i'm not saying this about Iraq) and we would start putting money back in to the economy and so on and so forth and eventually we would begin to make more money.

 

[thevegetarianzombie]

USA's economy was saved from a depression by WWII, so....yeah

The truth of that statement is questionable, as the Depression may have ended anyway. Significant as WWII was, it was not the only thing that happened in all the world during that time period, and there had been a lot of programs in place to kickstart the US economy. It would be naiive to assume that the war was the only acting factor. Furthermore, it is uncertain to what extent the various spoils of war contributed to the economic upturn.

More importantly, that fact that it helped one time is no indication whatsoever of a general trend. We've been at war for over 5 years now, and we went from the height of our economic power to the lowest it's been in more than 50 years.

 

[Death916]

WW2

 

[JWAN]

It's good for the USA's arms and private military industries.

it was what pulled us out of the great depression

Of course I believe that its not a substitute for the natural ebb and flow (rise and fall) it does have a positive effect as long as its not happening on your soil

 

[Undyingmarksman]

Depends who you are and what you can gain *cough* oil *cough*

 

[JWAN]

USA's economy was saved from a depression by WWII, so....yeah

The truth of that statement is questionable, as the Depression may have ended anyway. Significant as WWII was, it was not the only thing that happened in all the world during that time period, and there had been a lot of programs in place to kickstart the US economy. It would be naiive to assume that the war was the only acting factor. Furthermore, it is uncertain to what extent the various spoils of war contributed to the economic upturn.

More importantly, that fact that it helped one time is no indication whatsoever of a general trend. We've been at war for over 5 years now, and we went from the height of our economic power to the lowest it's been in more than 50 years.

yea, but those programs were proven to have little to no effect, even FDR's people admitted that it was the war that did it in the end. Besides that was WW2 jobs became abundant and this war is no where near the scale WW2 was. Other countries were buying our goods because we were one of the few countries that had an intact industry. Everywhere else was bombed to dust.

also the economy (IF PEOPLE DON'T MUCK WITH IT) naturally restarts and its an animal that's best left alone by the government unless extreme circumstances arise. what we have now would have been more average but I think the politicians and the media whipped up such a freaking tizzy about it on an election year that it ended up screwing with peoples minds.

 

[YuheJi]

War brings countries into debt. And believe it or not, debt is what actually gets the economy flowing. If all the debts in America somehow got paid off, we would all be screwed.

 

[RyePunk]

War obviously does boost the economy. But it does so at great expense to a huge number of fields.
Governments are basically given free reign over their nations.
Most of the Industrialized nations have War Measures acts, that enable them to take control of everything should the need arise. This means they can maximize industrial ouput and control all resources.
however People typically lose some freedoms, may be forced to fight for their nation.
Also the consumer economy that we all adore so much absolutely disappears. Anything that can manufacture something vaguely important for a war is forced to make war materials. Those nice shoe manufacturers start making military boots. Lots of them. Clothing production starts making uniforms and helmets.
I certainly would not recommend war to boost your economy. Well unless you personally own an iron mine.
So yes the economy does surge. But the consumer economy has to die for it to happen.

 

[JWAN]

Well I have a feeling this will turn out into a economics voodoo thing but It made the Americans spend lot's of money in WWII which apparently got them out of their depression so overall I'd say yeah in its own weird way.

It wasn't the money we spent though, it was the products we were exporting and the profits off of them, we were making profit faster than we were spending it, unlike today where we spend more money than we make

 

[JWAN]

War obviously does boost the economy. But it does so at great expense to a huge number of fields.
Governments are basically given free reign over their nations.
Most of the Industrialized nations have War Measures acts, that enable them to take control of everything should the need arise. This means they can maximize industrial ouput and control all resources.
however People typically lose some freedoms, may be forced to fight for their nation.
Also the consumer economy that we all adore so much absolutely disappears. Anything that can manufacture something vaguely important for a war is forced to make war materials. Those nice shoe manufacturers start making military boots. Lots of them. Clothing production starts making uniforms and helmets.
I certainly would not recommend war to boost your economy. Well unless you personally own an iron mine.
So yes the economy does surge. But the consumer economy has to die for it to happen.

it does not die (technically) It shifts!

this is where economics can get complicated, , my econ 150 teacher explained it like this:
If your country is making 500 [tanks] and 500 [fishing boats] and your at your production limit you expand it by gathering more resources OR increased technology (1000 total products)
Please assume tanks and boats cost the same to make (either crappy tanks and good boats or vice versa)
so lets say you go to war and your country needs to make more tanks so 600 [tanks] and 400 [fishing boats] your still making "1000 total products" BUT what if you find a new Iron mine and you get a new invention called an assembly line! well your set because you can produce more faster for a more cost effective price pushing out your maximum productivity!

 

[poppabaggins]

war between different countries is even better for the economy, as long as that country is a creditor.