The Iran War Comes Home Before the Midterms
On September 15, the Congressional Budget Office estimated that the conflict with Iran had cost the Department of Defense about $38 billion as of August 1. The report also traced consequences beyond military operations, including depleted missile-defense stocks and higher energy prices. As the 2026 midterms approach, it documents how a war overseas has become part of domestic economic life.
The midterms are not a formal referendum on the war. Americans will be choosing lawmakers rather than voting directly on continued military involvement. Yet the conflict is already before Congress, and its domestic costs are becoming clearer through federal estimates and reports from businesses affected by higher fuel prices.
The midterms are not a formal referendum on the war. Americans will be choosing lawmakers rather than voting directly on continued military involvement. Yet the conflict is already before Congress, and its domestic costs are becoming clearer through federal estimates and reports from businesses affected by higher fuel prices.
The $38 billion estimate includes replacing expended munitions and equipment lost in combat, additional flying hours, other operations and higher fuel costs. It excludes costs borne by other federal agencies and regular military operating expenses already included in the budget. CBO also cautions that its estimate carries considerable uncertainty because the Pentagon did not respond to its requests for information.
The bill will continue to grow if fighting persists. At the relatively low level of violence seen in May and June, CBO estimates that another month would cost about $2 billion. At July’s intensity, the monthly cost would be roughly $3 billion, with further escalation potentially raising it again.
Money also measures only part of the military........
