Bush Announces Need For $87 Billion in Iraq

Funds Will Help Restore Ailing Iraqi Economy; U.S. Economy On Hold Until 2nd Term

In a nationally televised address to the nation last Sunday evening, President Bush announced that the economic recovery had begun -- in Iraq. The President announced that he would ask Congress to appropriate $87 billion for the rebuilding efforts in Iraq.

When asked about when the U.S. economic recovery would begin, the President was less direct but hinted that he would concentrate more on the situation at home during a second term.

"Some of you are concerned about the state of our own economy," said the President, "and it's like my daddy always told me, 'Good things come to those who wait'."

The $87 billion of additional funding added to the $75 billion already spent on the war and rebuilding effort amounts to over $160 billion, a hefty price tag in the eyes of some critics. This amount for example is almost four times the $45 billion the President proposes to spend on education in the United States next year.

"What troubles me is that we could squander hundreds of billions of dollars more in Iraq," said Democrat presidential contender Howard Dean, "at a time when every state in the union is having some degree of financial stress."

Indeed, the $160 billion set aside for Iraq would more than bail out each of the 50 states from budget deficits that have been created by the spiraling domestic economic woes.

The President's spending plan was defended by one of his staunchest supporters, Halliburton president David Lesar.

"A lot of the $160 billion being spent in Iraq is actually being paid to U.S. companies like ours," said Lesar, "so a lot of this money is coming right back into our country and helping to rejuvenate our economy."

Lesar declined to say how much profit Halliburton would make from its dealings with the Bush administration in Iraq, but some critics have noted that payments to Halliburton will exceed the entire $7 billion that President Bush has set aside to fund the Environmental Protection Agency for the next year.

"The economic recovery here will begin soon," said press secretary Scott McClellan, defending the actions of the White House. "I think by 2007 or 2008, people will begin to see some real improvement, with new jobs being created everywhere."

The cost of the Iraq war to date, based on the $160 billion so far appropriated, will exceed the combined amounts set aside to fund next year's budget for education ($45 billion), transportation ($54 billion), energy ($17 billion), housing and urban development ($34 billions) and the E.P.A. ($7 billion).

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