The peace dividend of the post-Cold War world is turning into a war tax, says Michael Bociurkiw. The impact of extra defense spending on overall global aggregate demand is going to be pretty small, he adds. Even if countries follow through their commitments, global defense spending probably won't grow above the low single digits of global GDP, writes Bociurcik.
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.
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