ABSTRACT
It has long been obvious that the number of US and other coalition troops in Iraq is insufficient. Iraqi oil exports cannot increase because of persistent sabotage and the looting of expensive new equipment for its scrap value. In spite of very high oil prices, revenues are used up by food and other current imports with nothing left over for reconstruction. The failure of reconstruction is much less dramatic than the car bombs, shootings, ambushes and hostage-takings that dominate the headlines, but is even more important in undermining confidence in the interim Iraqi government of prime minister Ayad Allawi. The money is to come from unspent reconstruction funds. Not much has been heard of the new Iraqi army that was to have some twenty-five battalions, after many in the first battalion deserted, while the second battalion flatly refused to fight when sent into action at Falluja in April.
