Middle East


The bursting of the war bubble looms over the defence industry

An unwritten rule seems to warrant that US defence spending is kept immune to the ups and downs of the nation's GDP. The extraordinary dimensions of the current economic downturn, nevertheless, is testing its past resilience to any sort of moderation. Public investment in military affairs has largely been the result of foreign policy and global strategy, government cabinets since 2001 would surely protest from Washington. But a federal deficit…