Courtesy of Mish.
Stick to the Economy
In response to Ron Paul vs. USA Today on Crimea; Reflections on “High Costs” of USA Today Proposal one seriously misguided interventionist told me I do not know what I am talking about and to “stick to the economy”.
Well, I do know what I am talking about. 1000 years of history shows this is not our battle. But the big irony is that I am precisely talking about the economy.
Military and Economic Foolishness
It is military foolishness as well as economic stupidity to send missiles to the Czech Republic as senator John McCain wants us to do.
I was against the War in Vietnam (and proud of it). I was against the War in Iraq (and proud of it). I am against the use of drones that have killed hundreds if not thousands of innocent victims (and proud of it). The cost of these wars has been staggering in both moral and economic terms.
All we have to show for warmongering is a massive pile of government debt and a growing number of citizens in various countries who are sick of the US. Some of those people have so much hatred for the US they will become terrorists themselves.
Negative Sum Game
War is a negative sum game. Sanctions are a negative sum game as well. Anything that disrupts free trade is a negative sum game.
Russia promises to act “in kind” to any sanctions. If provoked enough, it will shut off supply of natural gas to Europe. That may cost Russia $70 billion in badly needed monetary reserves. It will also cripple European nations dependent on Russian gas.
No one wins from tit-for-tat economic sanctions. Yet economic illiterates propose such sanctions to “teach Russia a lesson”.
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