Doing some reading on stagflation, since all apparent signs are that we could be heading into another period of it. I came across the above article, and it clicked something in my brain.
It had never dawned on me that war might be an inflationary pressure on the economy. One of the things I heard growing up was that "war was good for the economy", something that the inner pacifist had a hard time accepting at face value. There's a certain fiscal stimulus applied when the government borrows oh, about a trillion dollars to conduct a massive "war" against any foe, be it terrorism, poverty, or another soverign nation, and then spends that money stimulating growth in the "military-industrial" complex.
Worse, what if 2001=1961, and Bush is some kind of evil Kennedy/Johnson hybrid?