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costs of terror
Terror and Migrants Threaten Global Supply Chains

A U.S. withdrawal from the task of promoting world stability not only results in war and unspeakable suffering, as in Syria, but it also degrades the performance of the global economy. The threat of terror is, of course, very bad for local economies: It discourages tourism and keeps people away from crowded restaurants and sporting events. But its effects are also global, according to the 115,000-member Chartered Institute of Procurement and Supply (CIPS). CIPS tells the FT, “the rise of radical Islam in the Middle East and the reintroduction of border controls in Europe is disrupting supply chains and raising costs for business.” CIPS values the added costs in the billions, saying that the effects are multiplied in an economy already hit by unstable commodities prices and Russian aggression.

Officials in Washington should not only see fighting terrorism abroad as a protection against attacks at home. Terrorists are also a threat to the global economy, the stability of which is a necessary ingredient for American companies and American world order. By letting ISIS establish a presence in Syria and Iraq, the U.S. has perhaps cost an already-fragile global economy billions of dollars. Isolationism and American withdrawal from the world is a mistake.

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  • Jim__L

    So “Made in America” is likely to get a boost from terrorism?

    If you’re one of the top 10% and your main concern in life is how cheap your iPhone is, this is a bad thing. If you’re part of the rest of the country and your main concern in life is putting a roof over your family’s head, it isn’t.

    America under Obama has gotten very, very bad at balancing these interests. Government of the philosopher-kings, by the philosopher-kings, for the philosopher-kings, skews heavily to the interests of the top 10%. Their attention to the bottom 10% is used to salve their conscience (or the moral preening and signaling that passes for one) about what they’re doing to the middle 80%.

  • Fat_Man

    The only intersections of the global supply chain and the Middle East are 1. oil, and 2. the Suez canal.

    Thankfully, we in the US are insulated from oil shocks (if the price goes up, we as a country are net zero because we produce as much as we consume), and we don’t care about the Suez canal, because our commerce does not go through it.

    The South China Sea — that is the horse of a different color, isn’t it.

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