In addition to the heavy death toll, "Israel's" war on Gaza and Lebanon has been expensive, raising concerns about the long-term impact of the aggression on the occupation's economy. Military spending has surged and growth has stalled, especially in the dangerous border areas that have been evacuated. Economists warn that "Israel" may face a decline in investment and an increase in taxes as the war strains government budgets, forcing a choice between social and military programs.
The Israeli government spends significantly more each month on the military, increasing from $1.8 billion before the war began last year to approximately $4.7 billion by the end of last year, according to the Stockholm International Peace Research Institute.
Last year, the occupation's government spent $27.5 billion on the military, ranking fifteenth globally, behind Poland but ahead of Canada and Spain, both of which have larger populations. Military spending as a percentage of annual economic output stood at 5.3%, compared to about 3.4% for the US and 1.5% for Germany.