WW3 and the economy question...

During WW2 Roosevelt managed to use the war to boost the American economy back to a stable and prosperous state. Does anybody think this would ever work again? Or would we outsource our military needs?

How do you think a third World War would affect the global economy?

Does anybody think that a full mobilization of the nation would be even be possible at this time?

No it certainly would not happen again. How could it? It never happened in the first place!

The idea of wartime prosperity is based on nothing more than the broken window fallacy.

Also, I've pointed this out before, and I'll point it out again, private consumption and investment during world war 2 PLUMMETED. To count government spending as part of GDP isn't the greatest accounting method. With private investors and spenders, you have people looking out for the best deal or the best investment. Not so with the government.

I'd recommend that you read some literature from the Austrian tradition of macroeconomics.

Does anybody think that a full mobilization of the nation would be even be possible at this time?

Ace_WondersX

It's always possible. The one factor that would make it difficult is the population. If Obama, or any President for that matter, announced today that the country would go into a total war-footing with civilian industries concentrating on providing material for the war-effort you'd get hippies, neocons, libertarians and everyone in-between crying foul.

No it certainly would not happen again. How could it? It never happened in the first place!

The idea of wartime prosperity is based on nothing more than the broken window fallacy.

Also, I've pointed this out before, and I'll point it out again, private consumption and investment during world war 2 PLUMMETED. To count government spending as part of GDP isn't the greatest accounting method. With private investors and spenders, you have people looking out for the best deal or the best investment. Not so with the government.

I'd recommend that you read some literature from the Austrian tradition of macroeconomics.

danwallacefan

Whenever a topic on economics comes up some always mention the Austrian economist studies and books, I need to get to reading these.

Whenever a topic on economics comes up some always mention the Austrian economist studies and books

Ace_WondersX

Our current president and previous president absolutely suck. I believe that there is great potential for a WW3. Could anyone explain to me why our government, rather than issuing its own currency backed by gold, allow a privately owned bank (Federal Reserve) coin the money out of thin air with interest needed to be paid back? Does this make any sense? The Federal Reserve is the major problem economicaly that we are facing today. I say we abolish the Fed and go back to article 1 section 8 of the Constitution ( allow the people to coin the money)

http://www.youtube.com/watch?v=ochjFU7fo1k