Iraqis on a Spending Spree

Newsday ^ | December 24, 2003 | Thomas Frank

[cheesebus]

Iraqis on a Spending Spree
Appliances, satellite dishes selling fast

Baghdad, Iraq - Although their electricity runs sporadically and gasoline lines stretch for miles, Iraqis are enjoying unprecedented availability of commercial goods, from cars to satellite dishes to portable exercise machines.

The fall of Saddam Hussein also ended a United Nations trade embargo, import tariffs and, in the absence of a government, sales taxes, which cut prices on appliances, electronic goods and other imports to as low as half their pre-war level. At the same time, some Iraqis are making unprecedented wages as the U.S.-led coalition has dramatically increased public-sector salaries and pensions and contracting fees.

[cheesebus]

I'd like to see Howard Dean respond to this article.

[explodingspleen]

While Howard Dean supposes that cheaper goods, new markets, and higher wages are a good thing, he does not see how they at all effect the economy or might have resulted from the war.

[TheDon]

Two weeks after the fall of Hussein, Ali Mohammed converted his women's shoe store in Baghdad into an outlet for satellite dishes. He has sold 2,000 in eight months for about $200 each. "Every Iraqi wants a satellite," Mohammed said.

Satellite dishes were illegal under Hussein - possession was punishable by 6 months in prison - and their sudden ubiquity has brought perhaps the most profound cultural change to Iraq, which previously had only state-run television. Iraqis are now watching American movies and British news, where they are learning the extent of Hussein's atrocities.

The Iraqis have a lot of catching up to do.

[geopyg]

I was reading in the newspaper where the Iraqis are buying tinsel and ornaments and SANTA SUITS! Even the Muslims! One Muslim guy was saying how it's a great excuse to have a celebration (he was the one with the Santa Suit!) He said they do recognize Jesus as a prophet, but don't typically celebrate his birth as Christmas. But, he is joining in the festivities cause he wants to celebrate! Of course, thousands of Iraqi Christians are also celebrating.

[america-rules]

Imagine what this will be like in Dec 2004 ?

100 Times Better !

[meenie]

A fitting example of what less government will do for an economy.