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Iraq war could cost US 100 billion
Reuters ^ | 02-26-03 | Adam Entous

Posted on 02/26/2003 8:01:25 PM PST by Norm640

WASHINGTON (Reuters) - U.S. military planners believe the cost of a war with Iraq could balloon to $95 billion or more, eclipsing earlier estimates, administration and congressional sources said on Wednesday.

The White House and Pentagon cautioned that it was impossible to put a dollar figure on the potential invasion and its immediate aftermath because no one knows how long it would take and whether Iraqi President Saddam Hussein will destroy the country's oil wells as he did Kuwait's in 1991.

"In the event force has to be used, it's not knowable how long it would last, what kinds of weapons would be used, how many other countries would be participating," Defense Secretary Donald Rumsfeld told reporters.

But Pentagon officials have discussed the $95 billion figure with the White House, which could scale back the package as it prepares an emergency spending bill that must then be approved by Congress. "That's the figure that's been put forward," said a senior defense official.

Sources involved in the deliberations said the price tag of a war could still come in at close to the $61 billion spent on the 1991 Gulf War. They called the $95 billion figure a Pentagon "wish list."

"The idea is to find out what we will need in terms of a relatively short, intense conflict," a defense official said, adding that deliberations at the White House were continuing for what would likely be the most intense and precise assault in military history.

It calls for more than 3,000 guided bombs and missiles ripping Iraqi military and leadership targets in the first 48 hours. Nearly 700 long-range Tomahawk cruise missiles, at a cost of about $1 million each, would be launched by U.S. warships and heavy bombers in opening high-tech strikes 10 times more potent than the beginning of the 1991 Gulf War.

In addition to direct war costs, the administration is prepositioning humanitarian supplies near Iraq and assembling multibillion-dollar economic aid packages for Turkey, Israel and other key allies in the region.

Administration officials say they planned to present detailed cost estimates to President Bush in the next week. "It's a big bill," said Robin Cleveland, associate director for national security programs at the White House Office of Management and Budget.

Rumsfeld held out hope that U.S. allies will pick up some of the costs.

But Sen. Robert Byrd of West Virginia, the ranking Democrat on the Senate Appropriations Committee, dismissed talk of a coalition of willing, or "COW for short," saying: "It appears to me that the U.S. is the 'cow' -- the cash cow in this case. We are the ones being milked."

According to internal White House documents provided to key congressional committees, the Bush administration expects to spend about $1 billion on humanitarian relief and reconstruction in Iraq in the first year after any U.S.-led invasion.

U.S. officials say they are preparing for the worst, including up to 2 million refugees in the weeks after any American-led invasion.

They are already sending blankets, water, tents, medicine and other supplies for up to 1 million people to the region. Nearly 2.9 million daily rations were also being stockpiled to meet emergency food needs.

But they acknowledge the cost could skyrocket if Saddam sets the country's oil fields on fire and uses chemical or biological weapons against civilians.

Although the administration is counting on Iraqi oil revenues to help pay for long-term reconstruction, it has yet to say how the United States would manage the oil industry and whether oil income would cover the full cost.

"We don't know what's going to happen in the (Iraqi) oil fields" if there's a war, a defense official said, noting that Iraqi forces destroyed Kuwait's oil infrastructure before fleeing that country after the 1991 Gulf War. The Kuwaitis, he added, spent an estimated $22 billion to rebuild their smaller oil fields after that conflict.

In contrast to the 1991 Gulf War, the United States this time could be forced to pick up almost the entire bill.

COSTS MOUNT

But experts say occupation costs could far exceed the direct military costs of the war itself. The Center for Strategic and Budgetary Assessments estimated the five-year costs at between $25 billion and $105 billion, depending on the number of U.S. troops on the ground.

Aid packages for Turkey and Israel alone could cost U.S. taxpayers more than $10 billion. Jordan is seeking more than $1 billion in grants and a supply of subsidized oil. Egypt wants duty-free access to the U.S. market for its goods.

Excluding these Iraq-related costs, Bush is already projecting record U.S. budget deficits of $304 billion for the current fiscal year and $307 billion next year.

"No one likes to talk about putting a price tag on national security, but these costs simply cannot be ignored," Byrd said.


TOPICS: Business/Economy; Foreign Affairs; Government; News/Current Events
KEYWORDS: bush; cost; iraq; iraqcosts; robertbyrd; war
I don't like the cost of the war, either, but Robert C. Byrd, King of Pork, has no right to complain about fiscal responsibility. Every piece of concrete in West Virginia is names after Robert Byrd--there is even a Naval Station in West Virginia thanks to Byrd (W.Va. is landlocked).

No no, Mr. Byrd--you go doddle somewhere else. SHut up.

1 posted on 02/26/2003 8:01:26 PM PST by Norm640
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To: Norm640
Ever notice how they are so doom and gloom? He's disgusting anyway...yuk!
2 posted on 02/26/2003 8:04:27 PM PST by cubreporter
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To: cubreporter
Still waaaaaaay cheaper than 9-11. That was at least $100 billion plus to begin with and the full bill won't be known for decades.
3 posted on 02/26/2003 8:06:40 PM PST by goldstategop
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To: Norm640
AND...What will be the PRICE if we do not cut this future HITLER down????
4 posted on 02/26/2003 8:07:13 PM PST by jaz.357
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To: Norm640
Let every nation know, whether it wishes us well or ill, that we shall pay any price, bear any burden, meet any hardship, support any friend, oppose any foe to assure the survival and the success of liberty.
5 posted on 02/26/2003 8:07:26 PM PST by Arkinsaw
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To: Norm640
they've already lowered the estimate to 60 billion.
6 posted on 02/26/2003 8:08:09 PM PST by Tempest
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To: goldstategop
Still waaaaaaay cheaper than 9-11. That was at least $100 billion plus to begin with and the full bill won't be known for decades.

They are saying 96 billion in costs for New York City alone.
7 posted on 02/26/2003 8:08:17 PM PST by Arkinsaw
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To: Arkinsaw
They are saying 96 billion in costs for New York City alone.

Knowing what I know about New York City, the real cost was probably about 10% of that, but they padded it by counting all the homeless people in the city and estimated how much money they "lost" after 9/11 as a result of their inability to play for the New York Yankees.

8 posted on 02/26/2003 8:11:04 PM PST by Alberta's Child
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To: Norm640
I think this is another attempt to continue the propaganda war against the U.S., trying to incite the citizenry to refuse to bear the cost. Reuters is as leftist as Hitlery and Billary, maybe more.

From what I recall, following the previous conflict with the evil one in Iraq, our Allies ponied up enough money that the U.S. actually came out MAKING money. Why expect anything different this time? Maybe we won't receive any francs or marks but who needs that toilet paper anyway?

Have you all stopped buying ALL products from france and germany? It IS time, y'know!
9 posted on 02/26/2003 8:13:02 PM PST by Chu Gary
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To: Norm640
The costs can be completely covered by reparations from a percentage of the increased Iraqi oil exports.

Next!

10 posted on 02/26/2003 8:16:26 PM PST by Natural Law
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To: Norm640
The Dept of Defense annual budget for 2001 was $299Billion.

So a cost of $100B represents about 4 months of operations regardless whether those operations occur in peaceful surroundings or crushing Sodom.

This expense was already budgeted.

This has become a favorite baiting trick by the leftists.
11 posted on 02/26/2003 8:25:04 PM PST by HighWheeler
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To: HighWheeler
Yep I agree. The Iraqi oil will cover the bill nicely. Parley
12 posted on 02/26/2003 8:34:16 PM PST by Parley Baer
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To: Parley Baer
Forgot to say then we will have to figure out how much the French will have to pay for the oil. I believe a slight mark up will be in order. HeHeHe. Parley
13 posted on 02/26/2003 8:36:43 PM PST by Parley Baer
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To: Norm640
what is the cost of an american city ????.....in lives ? in property? in morale?...small price to pay ......in my view....GOD BLESS AMERICA
14 posted on 02/26/2003 8:37:39 PM PST by saxxa
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To: HighWheeler
The difference, though, is the cost of having reservists called up to active duty, having more flights than usual, having more carrier groups than usual at sea at any given time, etc.

Not the cost should even matter here. When a nation has to do something, it has to do it regardless of the cost.

15 posted on 02/26/2003 8:49:57 PM PST by Alberta's Child
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To: Chu Gary
Have you all stopped buying ALL products from france and germany?

What do France and Germany sell here? Other than cars and water.

16 posted on 02/26/2003 8:50:49 PM PST by templar
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To: Natural Law
I was wondering how many days of Iraqi oil production would cover it?
17 posted on 02/26/2003 10:03:27 PM PST by TheDon (The only smoking gun I want to see, is the one which kills Saddam Hussein.)
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Comment #18 Removed by Moderator

To: templar
"Have you all stopped buying ALL products from france and germany?"

"What do France and Germany sell here? Other than cars and water."

There are a lot of products including champagne, propaganda, wine, brie cheese, propaganda, dijon mustard, frozen escargot, propaganda, various chemical products, goose liver, and many other products. Check the label before you buy. I think Elf Aquitane is French, for example.


19 posted on 02/27/2003 7:02:01 PM PST by Chu Gary
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