Funding wars on a global scale

theropods

250+ Posts
Throughout history, after a war, the victorious looted the loser and used the gains to fund the war they just fought. For lots of the big empires of the past, they were incapable of waging a large war if it didn't have the promise of profits to fund it. Rome is a classic example, they looted Gaul (now France and Northern Italy), Britain, Iberia (Spain and Portugal) Sicily, the Balkans, The Western Middle Eastern countries and Northern Africa. All of those areas had the promise of income due to looting and taxes and helped to fund the Roman Empire. Contrary to most peoples belief, they did briefly occupy parts of Germany, but after Varus lost 3 full legions, they found that they would not make much money by fully occupying and pacifying Germany and making it into a province. The same was true with lands to the East of the Western Middle East. Crassus took it upon himself to invade Parthia, but was crushed and Rome never really tried it again because there was no money in it.

We are the first Empire in history (that I am aware of any way) that not only doesn't loot or tax conquered areas, but actually spends our own capital on both the invasion and rebuilding the country afterwards.

I don't mean to dispute the morality of this, just the cost to our economy. One thing that I don't think our leaders or people understand is how different we are from any other Empire that has ever existed. We need to honestly evaluate what it is going to cost us to invade and reconstruct the country and what kind of benefit we will gain from it. Germany and Japan are good examples of our policy paying off. Iraq and Afghanistan are not so far. This policy is also a limitation that we need to face when we are in economic trouble, as we are now, or when we try to fight on several fronts at once. A war where we fund both the costs of invastion and reconstruction afterwards is incredibly expensive in both monetary terms and troop numbers for occupation. I don't think we have the resources to take on more than 1 large front at a time. We are struggling with Iraq (large front) and Afghanistan (moderate sized front) at the same time right now and not having the kind of success we would like in either place.
 
Think of it as a govt welfare to big business.

I was thinking of this the other day. We should loot and pillage. Once we get what we want (oil), warn them we'll be back if they don't get their act together
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It's a very good question but I find it difficult to post a thoughtful response in the midst of some of these conspiratorial hate-America responses.
 
This is a generalization, but tell me I'm wrong.

It was the lack of reconstruction after WWI that helped Hitler rise to power, and it was the abundance of it after WWII that helped Germany & Japan become economic powerhouses. By doing so, we helped create stable democracies.

The absence of this policy, or poor attempt at it, will increase the chances that Iraq & Afghanistan will likely breed a future administration looking to taking advantage of the chaos, and then likely thrust their nation into another war. A war that we will have to deal with as well, especially if nukes are involved.
 
Texoz,

Right on the first point. Wrong on the second.

It takes six or eight things to build a successful economy - good government, labor, capital, technology, management and so forth. Germany and Japan had everything you need except money after WW II. Iraq does not. You give Krupp or Mitsubishi some money and they get going again. The management, culture and so forth are all there. That's the hard part.

The value of a business or a national economy is the people and the processes much more than the assets. To take an extreme Microsoft could lose every product, patent, building and so on but in five years or less they'd be back on top. They have a team of sixty thousand experts and nobody else has squat.

In the modern world capital is no longer a significant barrier to having a successful business. If you have the other stuff you can get the money.

Toyota couldn't make an auto factory work in Ahghanistan. The Afghanis sure can't.
 

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