Military spending by the government impacts the economy and we all pay the cost. Experts have analyzed and found that wars drag our economy down and lead us to poverty.
Do we really need wars? Whether wars are necessary, or not, has always been a hot topic of debate. In a recent poll, at the “War Necessary? | Debate.org” site, 53% of the respondents said “no” and 43% said “yes” to wars. What we really need is to achieve global economic growth, and one thing clear about wars is that they impact our economy.
Most people do agree that wars are necessary if there is something truly evil that must be stopped. Throughout the history of human civilization, we have seen thousands of wars being fought around the world. If you know your history, you should know that wars have been a part of our evolution, growth and development. We have fought wars for our own protection, for our rights, we fought against injustice, exploitation, corruption, and to establish rights for human beings around the world. Even today, we are fighting against terrorism.
You may or may not like wars, and most of us have never been in a war, but whenever our country is at war, you are somehow involved in them. Fighting wars require money which all of us taxpayers must pay in order to fuel wars.
What does war mean to you? Please post your opinion in the comment box below or on our Facebook page.
What does war mean for us?
War spending impacts the US economy. It means more spending by the government on military budgets and it also means higher prices of everyday necessities.
Based on the data shown on Military budget of the United States, Wikipedia, US Federal military spending in the fiscal year 2014 was $596 billion, which is equal to the military budget of the next top ten countries combined.
Wars are expensive. They need money and resources, and they are also destructive. No matter who wins, it destroys capital, property, and resources including human resources, trade resources, natural resources, and money.
“War spending has probably stimulated the national economy to a degree. But the extra income attributable to war spending has been partially offset by the negative macroeconomic consequences of increased deficits and debt used to finance the wars.” – Macroeconomic Impact of Military Spending | Costs of War
For example, following the 9/11 attack, military spending has increased rapidly, and it is financed almost entirely through borrowing, giving rise to national debts and deficit. According to standard macroeconomic models and evidence, rising deficits have resulted in a higher debt to GDP ratio because debt has risen faster than income. The average home buyers had to make $600 dollars more in mortgage payment due to the rise in interest rates. (Source: Macroeconomic Impact of Military Spending | Costs of War )
Most people feel strongly about wars because of the consequences of war. However, wars are sometimes necessary to establish our rights, to ensure our freedom and in order for us to make progress. Whatever, the reasons may be, wars always impact our economy. Wars are expensive and destructive, so they should be fought only when necessary. Consistent economic growth can only be achieved through Peace.
We need to assure that we establish peace, deal with our differences through mutual understanding and negotiation, and a worldwide cooperation is needed for the prosperity of our planet.
Do we really need wars? What do you think? Please add your comments below in the comment box, or let us know your opinion on our Facebook page.
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Source: Institute of Ecolonomics