Wednesday, June 25, 2014

Disbanding Troops

                Every now and then, we hear about wars in some overseas far away country we don’t even know how to find it on the map. Well, our boys went there and in big numbers. Few years later, the biggest concern will be whether we can find jobs for them or not. But most normal people, including myself, don’t really think in the economic consequences that come with those soldiers.  Things like taxes, soldiers spending and savings, and even other war related effects like society excepting women labor during the World War II. It could be a positive thing that soldiers can spend more money in which they might help to an economic growth, says the Keynesian economists. Or, it could be a new challenge to the entire country when they demand government support rather than becoming self-supported civilians (like the rest of us). We should also consider that taxpayers, soldiers or civilians, could have what is called the “purchasing power” which gives them the ability to be their own boss in their privet business. However, that is not the case for vast majority of soldiers. When the war is over, soldiers are no longer supported by the civilians throw taxes. We will witness s great change in rolls, instead of watching the nation spending money on soldiers we will see civilians exchange their taxes with goods and services which will increase the total production and help the economy to recover. 

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