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The answer is that war is always an economic stimulus to the victor, but of course this is not always so.

Great Britain was destroyed by WW2; only slightly less than was Germany.

However, in this case, the Vietnam War was "good for business" for the US.

There was no destruction on American soil, and business was booming for the Military-Industrial complex.

"Beware the Military-Industrial Complex!" warned Eisenhower, on leaving the office of the US Presidency. He saw the beginning of the arms buildup of the "Cold War", and feared that the Pentagon, in league with its miltary industry, would warp American policy for generations to come.

And of course, it has.

However, it was not a closed system. There were other forces at play. In this case, the Oil States of the Middle East.

In 1967, Eqypt and Syria attacked Israel, and were beaten back. In 1973, fearing an attack was imminent, Israel preemptively attacked a number of Gulf States.

At the time, Israel was getting its arms from the US, while the Arab states were being supplied by the USSR. The US supported their Cold War proxy, Israel, and in retaliation, the Arab states cut off all oil to the West.

This made short work of the effort in Southeast Asia. The US military fell apart.

While the Arab states, who were no fans of Communism, eventually relented, the damage was done; the price of oil was now far too high to continue the war effort.

Probably the most important thing to take away from this is that before the Oil Embargo, there was no expectation that the war would end anytime soon; The Pentagon was happy with the war and so was the Dow Jones Industrial; who cared if dirty unwashed hippies and the Democratic Party were against it?

This was the first time that the US learned a painful lesson that we still are struggling with: Economy in the twenty-first century equals Oil.

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โˆ™ 2015-07-15 18:25:56
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Q: How did the Vietnam war affect the US economy?
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How did the Vietnam war affect the US politically?


Did the Korean War affect US wartime policy in Vietnam?

The Korean War directly resulted in the US NOT INVADING North Vietnam.

What was the impact of the Vietnam War on US Economy?

Part of the defense budget.

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it caused the economy to go down

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The Vietnam War had affected US soldiers by leaving some of them with psychological issues and leaving many homeless when they returned home.

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Vietnam lets us discover electronics alling us to invent lights and cars and stuff.

How did the outcome of the Vietnam War change the US and how it runs today?

It must be a lot and be significant for the US economy, I think.

How did the Vietnam war affect the soliers?

US servicemen returning home from Vietnam were treated with hostility, discrimination, and rejection.

Did World War 2 have a big affect on the US economy?


What role did the US economy play in this change of public support during the Vietnam war?


How does the Iraq war affect us economy?

The Iraq war affects the US economy directly and will have ling term effects. The money is mostly spent to end combat and restore peace in Iraq at the expense of the US economy.

Where were the US troops in the Vietnam war?

Because the Vietnam war was fought between Vietnam and the US

What effect did the Vietnam War have on Asia?

US Bases that were stationed in countries that were used to pursue the war, such as the Philippines, Thailand, etc. were exposed to the US Economy & Trade.

What role did the US play in the Vietnam war Vietnam War?

The US was at war with North Vietnam (informally-not with documents signed/declaration of war).

How did World War 2 affect life in the US?

World War 2 brought down economy.

Why was the US at war with Vietnam?

We were at war with Vietnam because they disagreed with us about something.

What was the impact of the Vietnam War on Southeast Asia and the US?

Countries surrounding the war zone (Vietnam), Thailand as one example, had US Air Force bases stationed there. These bases impacted the economy, in a positive way, for that country.

How was the us affected after the Vietnam war?

The United States was affected by the Vietnam War in many ways. The Vietnam War led to veterans coming home ill from the exposure to agent orange, ptsd, and addictions. The country as a whole was affected by a negative economy.

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They believed the Us should not be involved in Vietnam's Civil War, the US should be spending their money to help their own economy, not on Vietnam's.

How did the cost of war affect the us economy?

it improved the economy because now we had new industries (new jobs) making war supplies which eventually got us out of the Great depression.

How did the Vietnam war affect domestic issues in the US?

Only the draft affected the domestic front.

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It was mainly divided into two parts. It was the ones who wanted to end the war and the ones who wanted to keep the war going.

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With North Vietnam (not Vietnam; Vietnam was created after the war). No, the US did not win the war.

How did the US Civil War affect Texas?

The civil war put a big dent in texas. The economy crashed.

What do the Afghanistan war and the Vietnam war have in common?

Nothing. The US is not at war w/Afghanistan. The US was at war with North Vietnam.