Violence Cost World Economy over $14 Trillion in 2014
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According to a new report from the Institute for Economics and Peace (IEP), violence not only cost the world economy trillions of dollars but also carved out 13 percent of the world’s GDP in 2014. The IEP adds that political turbulence and refugee migrations destabilize economies worldwide and left many nations with heavy financial burdens in 2015.
According to a new report from the Institute for Economics and Peace (IEP), violence not only cost the world economy trillions of dollars but also carved out 13 percent of the world’s GDP in 2014. The IEP adds that political turbulence and refugee migrations destabilize economies worldwide and left many nations with heavy financial burdens in 2015.
The report not only lists nations but also compares various regions. For instance, South Asian countries, such as India and Bhutan, surged ahead of nations in the Middle East. This is because violence and conflict has become more of a problem in the Middle East, according to the report. Iraq’s bloody struggle is against ISIS fighters, while Syria is in the midst of a bloody civil war that has lasted for years. However, the Middle East is not the only region plagued with violence.
Violence in India
The report mentioned India in particular to get an idea of how violence affects a certain economy. Violence in that nation cost India $342 billion in containment costs. In other words, instability cost each person $273 in that country, which is equal to 4.7 percent of the nation’s GDP. India was pegged fifth out of seven countries within South Asia, and India ranked 143 out of 162 nations in 2015, according to the Global Peace Index (GPI). The report does not mean to single out India or any other nation, but India is worth noting because the country fell 6.0 percent from the GPI, due to such factors as “political terror” and “perceptions of criminality,” notes India TV.
Peacetime in Europe
On the other hand, Iceland took the lead as the most peaceful nation, with other countries such as Australia and Denmark trailing behind. European nations are among the most peaceful because of long-lasting peace and decreasing military spending. Further, many European nations pulled forces out of Iraq and Afghanistan, as the murder rates in Europe have gone down. However, the report does not take into account the increased geopolitical tensions between the West and Russia, and many European countries have been conducting military exercises and Russia vice versa.
Europe may be going through a longer peacetime than other nations, but no region is exempt from mounting tensions that could lead to widespread chaos, even World War 3, according to some analysts. The future remains uncertain, as 81 nations moved up in the peace index, but 78 nations grew worse since last year. Overall, the report highlights the strengths and weaknesses of nations and regions, while indicating what various governments must do to foster peace and curb civil strife.
