The economic impact of the war that began with the surprise terror attack by Hamas on Israel will turn on many questions that cannot be confidently answered at this point. How long will the retaliatory Israeli siege on the Gaza strip last? Will war have significant spillover geopolitical effects, perhaps impacting relations between Israel and Saudi Arabia or between the U.S.
“This may force the US government to increase investment in the defense industrial base to build munitions and weapon systems at faster rates and in higher volumes. Ultimately, the US will be supplying munitions, missiles, and anti-missile systems to two allies on top of supplying its own needs,” Bank of America’s analysts wrote. “As in any resource-constrained environment, difficult choices may have to be made as to who gets what from Pentagon inventories.
Claudia Goldin, the Henry Lee Professor of Economics at Harvard University, speaks at a press conference in Cambridge, MA, on October 9, 2023, after being named this year’s Nobel Laureate in the Economic Sciences. in the persistence of the pay gap, and anti-discrimination laws played almost no role in the pay gap shrinking in the past.Goldin’s work revealed that immediately after college or graduate school, there is very little evidence of a pay gap for women, and it remains small for the first few years of employment. It is not until about a decade later that men start to out earn women.
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