Would Taking on Iran Be Good For the Economy?


For the last few weeks, The Atlantic has hosted a debate on Jeffrey Goldberg's provocative cover story on the likelihood that Israel will bomb Iran in the next year. An Israeli attack on Iran's nuclear sites could change the landscape of the Middle East and U.S.-Mid East relations for a generation.

But what impact could a U.S.-Iran confrontation have on our economy? Macroeconomic Advisers studied three military conflict scenarios and factored in the chance that the United States would tap its strategic petroleum reserve (SPR), which is currently enough to cover U.S. oil demands for about a month. Their conclusion:

The greater economic harm resulting from these scenarios is likely to come from longer lasting financial-market effects which reflect lingering uncertainty and geopolitical angst that arises from the outbreak of conflict in this volatile region.

Read the full story at the Microadvisers blog.

Presented by

Derek Thompson is a senior editor at The Atlantic, where he writes about economics, labor markets, and the entertainment business.

Google Street View, Transformed Into a Tiny Planet

A 360-degree tour of our world, made entirely from Google's panoramas

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.

blog comments powered by Disqus

Video

Google Street View, Transformed Into a Tiny Planet

A 360-degree tour of our world, made entirely from Google's panoramas

Video

The 86-Year-Old Farmer Who Won't Quit

A filmmaker returns to his hometown to profile the patriarch of a family farm

Video

Riding Unicycles in a Cave

"If you fall down and break your leg, there's no way out."

Video

Carrot: A Pitch-Perfect Satire of Tech

"It's not just a vegetable. It's what a vegetable should be."

Video

The Benefits of Living Alone on a Mountain

"You really have to love solitary time by yourself."

More in Business

Just In