Defeating Daesh
A crucial point that needs to be mentioned is defeating the Daesh. Most of the world admits the group has to be destroyed. However what the international community has not agreed on is the means that would lead to its dissolving. The military actions conducted by both USA or Russia-lead coalition haven´t yet proved successful. Pressured, Daesh grows and the involvement of the West might be its intention to attract new recruits.1 That is why even with this terrorist group we maintain our position of non-involvement. Historical evidence shows us, that insurgents that make use of brutal actions lose local support and no such insurgent group has ever won an insurgency.2 We suggest that it will not be the military actions that will eliminate it, instead this terrorist group will be eventually destroyed by itself and it’s the economic reasons that make us believe it. Its economy will not be able to sustain mainly because of its serious inflation, scarcity of key supplies and failing public services in its controlled territory.
Though receiving its revenues from natural resources, precisely oil and gas (which are estimated to be 3 - 8 million USD per …show more content…
It lacks legal protection of property rights and personal freedoms necessary to trigger investments. Moreover, the organisation prohibits any potential investors to access credit and insurance markets, which limits its growth together with low human capital as a consequence of poor health and education. From the above mentioned reasons it is evident that Daesh is not able to pave the way for investments in its controlled territory. Economic literature suggests that such an institutional environment is ineffective and only discourages development. On the other hand, countries that facilitate investments thrive in the long
A crucial point that needs to be mentioned is defeating the Daesh. Most of the world admits the group has to be destroyed. However what the international community has not agreed on is the means that would lead to its dissolving. The military actions conducted by both USA or Russia-lead coalition haven´t yet proved successful. Pressured, Daesh grows and the involvement of the West might be its intention to attract new recruits.1 That is why even with this terrorist group we maintain our position of non-involvement. Historical evidence shows us, that insurgents that make use of brutal actions lose local support and no such insurgent group has ever won an insurgency.2 We suggest that it will not be the military actions that will eliminate it, instead this terrorist group will be eventually destroyed by itself and it’s the economic reasons that make us believe it. Its economy will not be able to sustain mainly because of its serious inflation, scarcity of key supplies and failing public services in its controlled territory.
Though receiving its revenues from natural resources, precisely oil and gas (which are estimated to be 3 - 8 million USD per …show more content…
It lacks legal protection of property rights and personal freedoms necessary to trigger investments. Moreover, the organisation prohibits any potential investors to access credit and insurance markets, which limits its growth together with low human capital as a consequence of poor health and education. From the above mentioned reasons it is evident that Daesh is not able to pave the way for investments in its controlled territory. Economic literature suggests that such an institutional environment is ineffective and only discourages development. On the other hand, countries that facilitate investments thrive in the long