The Economics of War in America
Americans have been losing wars for the past few decades, and there have been no
consequences whatsoever. America lost in Vietnam.
It lost in Afghanistan. Iraq became a disaster.
But here is the strange part, nothing happened.
Nobody important got fired.
No empire collapsed. Washington just moved on to the next war,
and that should be
impossible, unless we have been asking the wrong
question this whole time.
Maybe America isn't bad at war. Maybe the war is doing exactly what it's
supposed to do. You need to follow the money,
and it leads to one place, the
neighborhoods around Washington, D.C., Fairfax, Loudoun, and Alexandria.
They are some of the richest areas in all of America.
And here's the question, what do they produce there?
No oil, no factories, no tech giants, nothing.
Just office buildings full of defense companies and war contractors.
That's the product, the war itself.
America lost in Vietnam, these neighborhoods got richer.
America lost in Afghanistan, they got richer again.
Fifty years of lost wars, fifty years of growing mansions.
Because here's the trick almost nobody sees, a missile is not like a tank
or a jet. You fire it once, and it's gone.
Every single shot creates a new order. Now watch how this game played out in
Iran.
At one point, America fired eleven Patriot missiles just
to stop one
single Iranian missile. Each Patriot costs four million dollars.
The Iranian missile, on the other hand, costs a fraction of that.
On the battlefield, that's a terrible trade,
but in the boardroom, that's eleven
fresh orders, forty-four million dollars in just one
afternoon.
America fired over eight hundred and fifty Tomahawks in this war, more than
any campaign in history, at up to three and a half million dollars
each, and
every single one now has to be built again from the same companies.
That's the beauty of the business. The customer always comes back.
The stock market also understood this immediately.
The first day of trading when the bombs fell,
weapon companies' stocks shot
up. Then the Pentagon ordered its weapons
makers to quadruple production.
Then came the budget, one and a half trillion dollars requested for
next year,
the biggest jump in American history.
But here's the detail that should keep you up at night.
In January, one month before this war began,
Lockheed Martin signed a
deal to quadruple production of THAAD interceptors, the exact
missile that would soon be fired in hundreds over the Gulf.
So the order to refill the shelves was signed even before the first shot was
fired. Coincidence? Maybe. But one Wall Street expert admitted the
truth
out loud. He said the biggest danger to these
companies isn't losing a war,
it's peace. The moment peace talks begin, their stocks start falling.
Now think about what that means. There is a trillion-dollar machine whose worst
case scenario is that the fighting stops. It doesn't need America to win.
Winning ends the contract. It just needs America to keep shooting.
And this isn't some internet theory.
A five-star general warned about it, Dwight Eisenhower, the president, in his
farewell speech in nineteen sixty-one.
He named it himself, the military-industrial complex.
The military-industrial complex.
He said one day it could hijack the country.
This prediction was sixty-five years ago, so America losing wars doesn't really
matter because the wars were never the product,
the war invoices were.
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