Iran and the Global Economy
The escalating confrontation between the United States and Iran over the latter’s nuclear program has triggered much debate about what actions should be taken to ensure that Iran does not develop a nuclear weapon. How might certain actions against Iran affect the global economy? FAS released the results of a study, “Sanctions, Military Strokes, and Other Potential Actions Against Iran” which assesses the global economic impact on a variety of conflict scenarios, sanctions and other alternative actions against Iran. FAS conducted an expert elicitation with nine subject matter experts involving six hypothetical scenarios in regards to U.S. led actions against Iran, and anticipated three month cost to the global economy. These scenarios ranged from increasing sanctions (estimated cost of U.S. $64 billion) to full-scale invasion of Iran (estimated cost of U.S. $1.7 trillion).
FAS estimates that the United States maintains a stockpile of approximately 3,700 warheads, about 1,700 of which are deployed.
The Department of Defense has finally released the 2024 version of the China Military Power Report.
With tensions and aggressive rhetoric on the rise, the next administration needs to prioritize and reaffirm the necessity of regular communication with China on military and nuclear weapons issues to reduce the risk of misunderstandings.
Congress should ensure that no amendments dictating the size of the ICBM force are included in future NDAAs.