Although I think that terrorist attacks are a trade barrier in the short term, I think they are not a...

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Although I think that terrorist attacks are a trade barrier in the short term, I think they are not a trade barrier in the long run. The initial shock of an attack is devastating to the ones affected, the area affected, as well as the industries who are nearby. After that shock wears off and the security is bumped up in that area, trade will just continue to go on as usual. The only exception to that would be with certain countries in the Middle East, where it is such a hotbed of unrest. I think the trade of goods and services was not as affected as tourism, hotels, and restaurants in India are. I think that if a country needs certain resources bad enough, they will continue trading despite any terrorist attacks. I do not think the terrorist attacks had a significant impact on the import and export industry, but I do believe that it most certainly affected their tourism industry and certainly factored into the decisions of those who may have been planning to travel to India. Another example of this would be if Disney World had some sort of terrorist attack. They would be devastated and their attendance would drop significantly whereas trade of goods and services would continue to be conducted. In my opinion, terrorist attacks affect the movement, travel, and decisions of individuals more than they affect an economy's import and export trading. It is a security concern, but the people living in the terrorized nations still need to acquire the resources they need to continue their quality of living standards.

 

 

Do you agree or no and what is youe comments about that?

    • 10 years ago
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