The wars had been going on for almost 6 years by then and one of them, believe it or not, is still being waged. Wouldn't know that by the MSM.
The wars, like WW2 stimulate the economy. The bust of 2008 had nothing to do with the war or deficient spending. But the next crash, most certainly will be caused by the democrat deficient spending.
You do realise economies don't just change over night in reaction to something that's happened, right?
Often what can happen is that the beginning of the war will see an INCREASE in the economy, due to more money being spent on stuff, it depends on the nature of the war.
Vietnam, what about 1965 to 1975
It took five years for unemployment to start rising. Then it dipped a little then it went full out, the US couldn't maintain the economy and the war footing at the same time. It caused a recession.
Another 10 year chart, it's very similar to the previous one. The first five years saw unemployment get lower, then it exploded again.
Yeah, WW2 stimulated the economys of the world, for a while, then most of them were on rationing, resources were scarce, and when the war finished economies were trash.
As for 2008 having nothing to do with the wars. I disagree.
Harry Clarke The Iraq war caused the global credit crisis
"This article
on claims by Joseph Stiglitz regarding the economic implications of the Iraq war is worth reading. It repeats Stiglitz's claims that the war will cost the US $3 trillion and that it has raised oil prices by at least $5-$10 (but more plausibly by $35) per barrel."
"It also claims that to fund the war the US central bank flooded its economy with cheap credit leading to a housing bubble and a consumption boom."
Joseph Stiglitz s Freefall - Why The Economic Crash Happened
"In Joseph Stiglitz's new book, Freefall, the esteemed economist explains why the crash of 2008 happened, and what can be done to avoid a repeat event."
"Stiglitz lays the blame on the unsustainable build-up of debt on a banking and finance culture that was allowed to run riot. This riot of irresponsible loan making was cheered on by a philosophy of free markets as perfect, self-correcting mechanisms that had a higher purpose and intelligence than basic human common sense."
Not all of the problem was caused by the war. A war never sits in isolation with what is going on around it.
This is a great talk here.
Oil price went up, the US spent more money on importing oil. This took money out of creating jobs. This then meant they reacted by reducing interest rates and so on, this then led to the economic crisis later on. It worked at first but wasn't intelligent.
