The War Economy

Discussion in 'Politics & Current Events' started by -cman-, Jan 30, 2003.

  1. -cman-

    -cman- New Member

    Apr 2, 2001
    Clinton, Iowa
    Good article on the Economist online regarding general business climate and concerns in US and international corporate world regarding effects of war on business.

    http://www.economist.com/agenda/displayStory.cfm?story_id=1559501

    Quick Synopsis: The authors, like everyone else hope for a short, sharp conflict. Most economists agree that there will be around a $5/bbl "war premium" on oil for the duration of hostilities. General uncertainty and lack of confidence in the stock markets unrelated to the war are piling onto the ones that are. This is affecting a lot of companies' medium-term financing and purchasing. Lots of American companies already are or are preparing for huge losses in their Mid-East (and European, esp. French and German) markets from anti-American sentiment. Lots of fears of disruption of supply chains if transportation links are shut down due to war action or security alerts.
     

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