economy
The Iran war could cost the American taxpayer $1 trillion, says Harvard academic
As efforts to reach a lasting settlement have so far proved unsuccessful, one Harvard academic estimates the total could end up far higher than was promised.
TL;DR
- The Iran war could cost U.S. taxpayers $1 trillion, according to Harvard Professor Linda Bilmes.
- Initial Pentagon figures show $11.3 billion cost for the first 6 days of operations.
- Bilmes estimates short-term costs at $2 billion per day during 40 days of conflict.
- Reported Pentagon figures underestimate actual costs due to using historical inventory values.
- Long-term costs include reconstruction of damaged facilities and infrastructure, and potential lifetime disability benefits for troops.
- The U.S. is borrowing to finance the war at higher rates on top of a significantly larger national debt.
- Interest costs alone will add billions to the total cost, passing expenses to future generations.