Our Chief Industry: War

The economy may be collapsing, but the war business is booming

by Justin Raimondo, November 18, 2009

"We often hear the complaint that America doesn’t make anything anymore: that is, our economy seems driven not by producing actual things, but utterly intangible creations such as credit default swaps and securitized sub-prime mortgages. Our once-bustling factories are rusted relics. Entire industries have collapsed. Ghost towns have sprung up where cities once thrived, like mushrooms sprouting in a cemetery. Baffled Americans, who – mistaking debt for wealth – thought they lived in the wealthiest country in the world, struggle to define what is happening. Old words like "correction," contraction," and "recession" give way to talk of a second Great Depression, and, in this context, the question "What does America make anymore?" is raised with renewed vigor.

While our factories have long since moved abroad, where wages are lower and regulation is lax, and our crippled industries are in Dr. Obama’s economic intensive care unit, on life support and awaiting last rites, America’s number-one export – representing, by far, our single largest capital investment – is our overseas military presence. What Chalmers Johnson referred to as our "empire of bases" is the framework of an international economic system in which the division of labor is roughly as follows: while Asia is the factory of the world, South America the farmland, and Europe increasingly a theme park/museum, the U.S. role is that of world gendarme........"