In many ways, the rush to war in Iraq and the saber rattling throughout the Middle east, is a sign that the powers that be in the U.S. have decided that American industry is in the terminal stages of its competitive position in the world.Industry after industry is biting the dust in the face of relentless competition from Japan, Germany and other advanced economies while the low end is being ceded to India and China.
That has left the U.S. with the only industry it is good at: War making and the paraphernalia that one needs to execute a war American style.The beauty of this is that most of this industry is financed by tax` money and cost is no consideration.With cost plus considerations, profitability is assured on each and every project.Despite the boast one often hears from our corporate chieftains, they are extremely risk averse animals and want a sure bet more than anything.
So, the War on Iraq may signal the terminal phase of
our industrial decline rather than any triumphant assertion of American hegemony.