The Global War Tax and the Peace Dividend

2min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

Colin Williams: War in short is expensive as Russia knows all too well. Last year, it crossed the $2 trillion mark for the first time, an increase of roughly 4% in real terms. Lots of countries are pledging to spend more on defense and that could rise by about $200 billion a year. If you have somewhat more speculative assumptions, it could be as much as $700billion a year.

Conflict in Ukraine has cut short the “peace dividend” the world was reaping. We count the economic costs of a widespread return to a war footing. President Recep Tayyip Erdogan’s appointment of two economic realists should, at last, overturn Turkey’s upside-down monetary policy—if they are free to act. And why so many whales are washing up dead on America’s East Coast.

For full access to print, digital and audio editions of The Economist, try a free 30-day digital subscription by going to www.economist.com/intelligenceoffer