Speaking at his Iowa campaign headquarters located next to a Quizno's sandwich shop in an Ankeny strip mall, Paul said war is a drain on the economy and it's an "economic fallacy" that such engagements can pull a country out of a depression.
"If a person is a conservative and likes limited government, it's during wartime that government grows," he said.
International aid can do more harm than good for allied nations, Paul said. He said the recent incident between President Barack Obama and Israeli Prime Minister Benjamin Netanyahu is evidence of that.
"Israel has been too willing to give up their sovereignty, take our money, and then they have to take their orders from us," Paul said. "I am convinced it is in the best interest of everybody not to be dependent on others. National sovereignty is a good idea, as a matter of fact, I think state sovereignty is a good idea."
At the mention of state sovereignty, a few cheers came from the crowd of about six dozen.