Joseph Stiglitz is a Columbia University professor, former chief economist of the World Bank, and a winner of the Nobel Prize in 2001...for his analysis of markets of asymmetric information.
Over the weekend, he presented his analysis of the real cost of the war in Iraq. This comprehensive study attempts to take into account the costs of the war that were not apparent, or considered, at the outset, e.g. lifetime disability and healthcare for injured troops as well as the impact on the American economy."See article"
For example, the latest Pentagon figures show that more than 16,000 military personnel have been wounded in Iraq. Due to improvements in body armor, there have been an unusually high number of soldiers who have survived major wounds such as brain damage, spinal injuries, and amputations. Stiglitz has estimated that lifetime care for the thousands of troops who have suffered brain injuries, could alone run to $35 billion.
Professor Stiglitz's estimate is in stark contrast to the original figures that were presented by the Bush administration. In 2003, Larry Lindsey suggested that the total costs might reach $200 billion. Paul Wolfowitz, the deputy defense secretary, was even more optimistic...and stated that oil revenues from Iraq would enable the costs of the war to be "self-financed."
Professor Stiglitz goes on to say that he considers his $2 trillion estimate to "very conservative", and that this figure does not include the costs of the conflict to either Iraq, or the United Kingdom.
Copies of his analysis are available on www.josephstiglitz.com
Keep politics out of the business arena.
Where would you like to stop the Radical Islamic based Jihad effort?? New York City?
We already lost there.
If you think they are going to just go away, You are living in La La Land.
Thanks, Tom Wing
Posted by: thomas h wing | January 14, 2006 at 12:44 PM
This post is not intended to be a political statement. It is a report on one person's calculation (Professor Stiglitz) on the total cost of the Iraq War. If his estimate is correct, I think it is a valid topic for all financial professionals to factor into their own business considerations.
Posted by: The Prospecting Professor | January 16, 2006 at 02:00 PM