ABSTRACT
This chapter reviews the lessons of the Iraq war that relate to the economic and financial costs and how Americans account for them. Had the war brought stability to and enhanced economic growth in the region, its defenders would contrast the cost of the war with those economic benefits. If the war had brought about a wave of democratic regimes, its defenders could arguably set those political benefits against the economic costs. As it is, the war has brought increased economic and political instability, which has resulted in reduced growth, sectarian violence, lawlessness, rising abductions, and deteriorating standard of living for millions of people. The United States (US) government has underestimated the cost of Iraq war. The chapter explores the systematic procedures by which the costs of the war, both in treasure and in lives, both to the budget and to the overall economy, can be and have been hidden from public.