In November of 2004, approximately 1,200 Americans died of murder [Table 2.2](
Murder - Crime in the United States 2004). If 122 civilians total died in Iraq in November of 2009, then that's pretty damn impressive. Regardless, with respect to OP's original point. Yes, we're far removed from the violence, so Iraqi soldier/contractor/civilian deaths don't bother us as much as being laid off due to the economy.
The war deaths don't affect us personally, so we're less apt to care.