US-Iran Conflict Escalates as Saudi Economy Falters

On July 30th, 2026, tensions in West Asia reached a boiling point as Saudi Arabia attacked Iraq and Yemen. The United States, under President Donald Trump, is facing a difficult decision: whether to pursue military action against Iran or negotiate a deal.

According to Michael Hudson, an economist, the US strategy of targeting civilians has been ineffective in achieving its goals. 'Hitting civilians doesn't help,' he said. 'And there's no way that the U.S. military can take out the military targets that Iran has spent decades putting all over the country.'

Hudson explained that Iran has successfully defended itself against US attacks, and that the only effective way to defeat it would be to target its military capabilities. However, this is also a difficult task due to the complexity of Iran's military infrastructure.

The situation has become even more complicated as Saudi Arabia, one of the key players in the region, is facing economic pressure due to the closure of the Strait of Hormuz. According to Hudson, Saudi Arabia's economy is heavily reliant on the US financial system, and the country is paralyzed by its inability to pay for the war.

The US has been seeking to make Arab monarchies, including Saudi Arabia, pay for the costs of the war in West Asia. However, this strategy may backfire as it puts pressure on these countries' economies and makes them more vulnerable to Iranian attacks.