Agreed on the economic side - it was clearly stated that because they spent so much of their money on the military they didn't have the resources to deal with the problems that Praxis' explosion led to.
If they could have coped themselves in the aftermath of the disaster - there would have been no peace talks
'If the Apocalypse starts, beep me!' - Buffy Summers
'The sky's the limit.....' Jean-Luc Picard, 'All Good Things'
courtesy of Saquist