War
Is Not a Good Idea
Looking for cheap stocks? Forget the
New York Stock Exchange or Nasdaq. Try the Baghdad stock exchange. It's a small exchange that trades a
handful of inexpensively priced companies. Once the U.S. cleans house, pours in aid, and helps it exploit its
oil reserves -- the second largest in the world -- Iraq could be the next Chile or China.
Don't laugh. That's the kind of logic coming
from Washington D.C., these days. If we follow lock step with the party
line from the White House, the war we're supposedly about to enter (we may even
be in it by the time this is printed) will be a quick fix, something like the
last time we marched into Iraq. During the 1991 Gulf War, American and Allied
forces swept in and took care of business in a matter of months. The financial
markets swelled with enthusiasm: On Jan. 17, 1991, the first day of the war, the NYSE soared 4.6
percent.
It won't be the same this time. Attacking Iraq would be madness. We've all heard the obvious
reasons: Last time, we had the support of most of the world, but this time even
our "staunch ally" Britain is wavering. Prime Minister Tony Blair, usually the U.S. government's running dog, says he supports the U.S.'s decision, but polls show the British don't. Europe and Asia also have not jumped on the bandwagon.
If we're really going to attack, we'll also
need places from which to do so, and the options appear to be drying up. Jordan doesn't want us. Syria never wants us. Qatar, a tiny pro-West country on a peninsula in the Persian Gulf, has given us an air base, Al-Udeid,
but now opposes an attack on Iraq. Qatar is about half the size of Connecticut, bordered on three sides by water and on the other
by Saudi
Arabia.
If the "evildoers" of the region have the destructive muscle the
White House says, it isn't the safest place for our troops to be.
The media has hashed out everyone
of these perfectly valid points. But much larger reasons loom for why the U.S. should not start a war. And the roots of those
reasons are planted firmly in the streets of the Middle East; those are roots of the deepest, and most dangerous,
kind.
If we attack Iraq, then, win or lose, we risk destabilizing several
other countries and placing power in the region in the hands of far more
anti-American fundamentalist regimes. The result will have profound economic
and political implications to Americans thousands of miles away not to mention Israel, who is the middle of things. I cannot imagine a
friend of Israel would support such an undertaking.
Take Egypt, for example. In late August, President Hosni Mubarak voiced his
opposition to a military attack. Mubarak is largely
viewed as a lackey of the U.S. Egypt, after all, is the second largest
recipient of U.S. aid after Israel, pulling in about $2 billion in civil and military support each year.
The bigwigs who get a piece of that pie love their monthly check.
That's not most Egyptians. Distaste for Mubarak is growing among the citizenry. Should we engage Iraq, he'll be forced to show his true colors, either
continuing to drink at the spigot of aid or standing alongside those who oppose
a military action. Any decision Mubarak makes could
lead to riots in the streets. Even his overthrow is not inconceivable. It
wouldn't be the first time a strong dictator with military support has been ousted.
Remember Egypt's last leader, Sadat.
The same uncertainty exists in Pakistan. Prior to Sept. 11, 2001, no one wanted to have anything to do with what was
considered a repressive, backward society. Its government had to beg Bill
Clinton to visit while on his trip to India toward the end of his presidency. He agreed only to
stop at the airport.
When I was there last year I was shocked at
the poverty, the sad disrepair of the infrastructure, and the unhappiness of
large parts of the population. General Pervez Musharraf, Pakistan's military ruler, was a
textbook pariah from the U.S. State Department's perspective: He runs a
repressive regime, threatens neighbors with weapons of mass destruction and has
openly supported Islamic terrorism. Sounds a little like someone else, no?
There are a lot of "evil" leaders in the world - some of whom we
support.
Since 9/11, Pakistan would appear to be our best friend. And yet the
tensions between various segments of Pakistani society -- fundamentalists,
military, landed gentry, to name a few -- have only worsened. Pakistan, remember, is a remnant of British colonialism, a
mishmash of cultures forced into arbitrary borders. Musharraf
faces growing opposition and an attack in the region could further undermine
the country's stability.
Perhaps the most pivotal country is Saudi Arabia. Until now, our relationship with this strict
fundamentalist nation has been good, but not great. Economically, it's an
important ally: Saudi Arabia has the world's largest oil supplies, roughly 26
percent of all known petroleum reserves. And it's clearly important
strategically: We have troops based there. That's angered many people who don't
want Christian troops in the land of the holiest sites of Islam,
Mecca and Medina. I can't understand why we don't use Muslim troops
from Turkey or Morocco there instead. A U.S.-led attack on Iraq will most likely only fuel distrust of our policy
making at a time when Saudi Arabia is on edge already.
The country is a mix of two worlds, old and
new. Half of its population is under the age of 25, yet it's
run by a bunch of guys who are around 80 years old and completely out of touch
with the thoughts and desires of the 15-year-old girl in the shopping mall or
the 18-year-old boy in the mosque. (That's all you see driving through the
country: mosques and shopping malls). Thousands of members of the royal family
get paid every month while a large part of the population gets nothing. As a
result, the monarchy is under attack and popular dissension is growing.
When President Bush goes on television and
says certain cultures hate us for our democracy and freedom, he's just wrong.
Everywhere I went in the Middle
East, everyone told me how
much they loved America and Americans; the hatred is directed at American policy. Guess what was the favorite country of young Arabs and Muslims, according
to a study conducted by the British Council after the terrorist attacks on the U.S.A. Yes, the U.S.A.
Why not build on that reservoir of goodwill
rather than cause a backlash that will last a generation? Patience and smarter
tactics paid off in South Africa, Russia, Poland, and China, countries where the United States now is loved.
Our deep cry for justice
and to send a warning to madmen is justifiable and understandable, but we
have to be aware of the outside world. The bottom line is this is not a war
we want to get into. We can win the battle of Iraq, but that is not the war.
It's not a war that can be won in the traditional sense.
If we succeed in ousting Saddam Hussein, what then? Who is going to run Iraq
afterwards? We cannot do it. The country is a mish mash of factions who hate
each other. Suppose they elect an Islamic fundamentalist leader? Then there
would be a long arc of fundamentalists covering thousands of miles. Saddam was
anti-fundamentalist, but the radicals may attract more followers once he is
gone. Even if we kill everybody in Iraq, it only makes the situation worse.
Occupy another Muslim country?
We will be fueling more terrorism and more sympathy for anti-Americanism.
Don't forget that Egypt; Pakistan and Saudi Arabia represent 230 million
people and I have not even gotten to the effects action might have in Turkey.
What if it takes longer than expected?
Morale in the military is already low especially among the reservists, and we
would be leaving our troops in an exceedingly hostile part of the globe. What
do we do about the Kurds in Iraq, Iran, and Turkey who want their own nation? What happens if another
region heats up like, say, Israel? Look at a map and see how vulnerable our ally Israel would be if more surrounding nations become
anti-American.
Can we wage war in many places? I'm not
sure, especially if this turns into a 1914 kind of situation. A horrible
terrorist act then led to a high-minded crusade and serious
"preventive" bumbling and a disaster which no one could even explain,
much less defend, a few years later. Closer to home, our own
"Best and Brightest" stumbled onto the quagmire of Viet Nam with terrible results.
There's all this talk about our winning the
war in Afghanistan? I'd like to know exactly how we define
"winning." So far all we have done is throw out the Taliban and gain
control of a couple of airports and a few hundred square miles. Now we are
stuck there trying to prop up yet another unpopular leader. We do not have the
necessary manpower or equipment if things heat up elsewhere. We only have 12
aircraft carriers now; our ships are nearly all old as are our planes and much
of our equipment. Besides the magnificent fighter planes we have may be of
limited use in these kinds of wars.
Let’s think this through. What if we
continue making enemies at an accelerating rate? Then one of their madmen
explodes a nuclear suitcase bomb in Washington D.C. We immediately destroy Baghdad and all of Iraq. What if a second madman does the same thing in
San Francisco? What do we do then since there is no one else to
bomb, but millions of madmen still are furious at our policies?
There has to be a better way to save the U.S., Israel, the Middle East and the
world.
Economically, you just can't get around many
of the facts: We are the world's largest debtor nation and this war could be
very expensive. The economy is already incredibly vulnerable. The Gulf War in
1990-1991 threw our then-strong economy into recession and it was a short,
simple war at a time when the rest of the world was growing - the opposite of
today. I'm concerned about the stability of the U.S. dollar. Many nations
appear to be pulling their money out for fear the dollar will continue to
stumble or the U.S. government will freeze foreign assets, even those of our allies.
Suppose this leads to a run on the U.S. dollar? Remember we have to attract
$1.7 billion of foreign capital every working day just to finance this year's
trade deficit.
The need to service our previous deficits
makes it even more. Next year will be worse - not better.
Hey, we've done it before. As is often the
case, this action against Iraq appears driven by hubris more than thoughtful
consideration. The risks are clear; I'm really not sure what we gain even if
things work exactly as Washington hopes.
And remember U.S. Senator
Hiram Johnson's famous warning ...[He was apparently quoting Aeschylus the Greek
tragic dramatist (525 BC - 456 BC)]...: The first casualty when war comes is truth.
Updates are available at www.jimrogers.com