Question

FAN AND MEDAL TO BEST ANSWER...NO ARGUING

How can a war improve a nation's economy?

Answer 1

War helps the nations economy because industry at the homeland make tanks guns artillery and ETC.
And so all this work to make this stuff is needed to fight the war and so in order to make this stuff it gives more employment to the people. This creates a huge cycles which helps the economy make more money and the government flourishes.

Answer 2

Thanks

Answer 3

You bet :)

Answer 4

It is a great myth that war can improve a nation's economy. It has some how got ingrained after world war II, which came directly after Great Depression. The arguement goes, such war spending increases orders for the defense companies and increase employment. This extra money will encourage spending and will result in retail sales. This is a complete fallacy.
Henry Hazlitt calls it as 'The Broken Window Fallacy'
The war has to be necessarily funded thru;
1.decrease in spending in other areas
2. Increase in taxes
3. Increase in borrowing.
Increase in taxes reduces spending by households, which is not good for the economy. Government reducing spending welfare programs again affect the vulnerable in the economy. Increase in borrowing would entail interest costs, an additional burden on the economy.
Wars will only affect the economy. Increased debt burden for US is ample proof.

Source: http://www.quora.com/How-can-war-improve-a-countrys-economy