Is the cry coming from the Obama
A military strike by Israel against Iran’s nuclear facilities has emerged as one of the biggest threats to the U.S. economic recovery and could roil the November elections.If there ever was a rational for Binaymin Netanyahu to go it alone, this is it. No longer would President Obama have to deal with Netanyahu. In fact President Obama would have more time for golf. A lot more time.
The Obama administration and economic experts have warned a pre-emptive attack by Israel could send the economy into a slump, which would change the trajectory of campaigns for the White House and Congress.
Economic and energy experts say an attack could cause an oil shock, which sent the United States into recession in the late 1970s. In the early '90s, a similar shock occurred when the OPEC oil embargo and the Iraq invasion of Kuwait sent prices soaring.
“If Iran is to retaliate against Israel or other U.S. targets, it’s really unpredictable. It’s safe to say there would be a big shock to oil prices,” said Adam Hersh, an economist at the Center for American Progress.
“The oil price shock and domestic politics in the United States are my biggest concerns for disrupting the economic recovery we’ve been seeing,” he said.
Tensions with Iran will serve as a backdrop for the emerging battle over energy policy between the White House and congressional Republicans, who are seizing on high gas prices to build political momentum.
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