++ [ originally posted by Zlatan ] ++
Yes, but just look at the money American companies will get for rebuilding Iraq...
Yes, but just look at the money American companies will get for rebuilding Iraq...
It's not only that. At the peak of its oil production before the Desert Storm Iraq's daily oil output was 8 million barrels per day (daily demand for oil worldwide is 66 million barrels per day). After the war output has slipped to just above 1 million in the framework of the "oil for food program". But Iraq (having second largest oil reserves in the world after Saudi Arabia) does posess HUGE oil fields in the North which are yet to be explorated. If they are, this will boost Iraq's daily output to 15 million barrels per day within 5 years. This will significantly increase the supply and prices will therefore fall.
If the US controls Iraq- they will control 23% of oil output by 2009. So, we are talking about billions of dollars of American and British investment (in the upstream oil&gas only) + literally trillions and trillions of oil money during the next decade. This will boost the American economy once again and make everyone happy.
So, Bush has done a brillian tactical maneuvre by going into Iraq- you spend couple of hundred billion, but later your country enjoys the benefits of trillions. You lower taxes and lower budet deficit. Republicans will be in the white house forever!
