The Cost of War
Summary
Host PJ Vogt interviews Harvard professor Linda Bilmes to analyze the hidden financial costs of the U.S. war with Iran. They discuss how the Pentagon underestimates expenses by using historical inventory values instead of replacement costs and ignoring long-term veteran liabilities. The episode reveals that previous wars like Iraq and Afghanistan cost trillions, funded largely through debt rather than taxes. This lack of fiscal transparency removes a key deterrent to conflict, making wars appear cheaper to the public than they truly are.
Topics discussed
Sponsors: Bombas and Framer
Announcement: Upcoming AMA on Reddit
Introduction: The cost of the Iran conflict
Interview: Linda Bilmes on war accounting history
Emergency appropriations and hidden deficits
Pentagon's lack of financial accountability
Historical shift: From taxes to borrowing for war
Sponsors: Ring, Planet Money, and Zapier
Analysis: Upfront costs of Operation Epic Fury
Hidden costs: Veterans' liabilities and health
Economic impact: Strait of Hormuz and oil prices
The $200 billion request and depleted inventories
Political fallout and the fragile ceasefire
Conclusion: The danger of unfunded wars
Sponsors: Son of a Tailor, Instacart, and Mux
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