Iran War Has Cost American Families Nearly $2,000, Economist Says
Higher energy prices make up most of the war’s financial burden on Americans, followed by mortgage rates, according to Mark Zandi.
Eight months into the Iran war, economist Mark Zandi estimates that the average American household has now incurred nearly $2,000 in additional costs, bringing the total to $265 billion nationwide. This figure is seven times higher than what Defense Secretary Pete Hegseth reported to Congress. The war's impact extends beyond military costs, as global oil market disruptions have led to higher energy prices, primarily fueling inflation and rising everyday expenses.
Gasoline prices have climbed from under $3 to $4.37 per gallon, while diesel costs have risen above $6. The National Automobile Association reports a national average gas price of $4.34 per gallon. The Federal Reserve's recent decision to raise interest rates in response to inflation has also contributed to higher mortgage rates, impacting American households.
With 21 American service members killed and 865 wounded in the war, the human cost is evident. Support for the war remains low, with 65% of Americans disapproving of President Trump's handling of the conflict.
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